The latest overall job loss numbers showed a loss of only 11,000 jobs in November and the unemployment rate fell to 10.0%. The September and October numbers were revised as well to losses of 139,000 and 111,000, respectively. 7.2 million jobs have now been lost since this recession began.
So far for this recession, the peak has been 741,000 lost jobs in January 2009. In the 2001 recession, monthly losses hit a high of 325,000. The 1990-91 recession peaked at 306,000 losses. As you can see from the chart below, numbers peak toward the end of a recession (past recessions are marked by grey bands), making employment a lagging indicator. The unemployment rate peaked at 10.8% at the end of the 1981-82 recession.
Here is a breakdown of where the job losses were as well as which sectors were adding jobs. Worst hit was manufacturing and construction, but the services sector returned to job growth. Again, health services added the most jobs.
Total change in non-farm payroll = - 11,000
- Private Sector = - 18,000
- Natural Resources & Mining = - 1,000
- Construction = - 27,000
- Manufacturing = - 41,000
- Durable goods = - 33,000
- Non-durable goods = - 8,000
- Services = + 58,000
- Wholesale Trade = - 11,700
- Retail Trade = - 14,500
- Transportation & Warehousing = - 5,300
- Utilities = - 2,400
- Information & Media = - 17,000
- Financial Svcs & Real Estate = - 10,000
- Professional & Business Svcs = + 86,000
- Education = + 11,100
- Health Svcs = + 28,100
- Leisure = - 11,000
- Government = + 7,000
The futures surged on the better than expected news. In the pre-market, Alcoa , American Express , General Electric, Caterpillar , JP Morgan Chase and Home Depot were leading the Dow to the downside.
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