If the recovery is all about jobs, new signs suggest the recovery is gaining momentum.
On Thursday, the latest data showed that the
Specifically, initial claims for state unemployment benefits declined 10,000 to a seasonally adjusted 311,000, the lowest level since November, the Labor Department said on Thursday.
The four-week moving average for new claims, considered a better measure of underlying labor market conditions as it irons out week-to-week volatility, fell 9,500 to 317,750. That was the lowest level since September.
Because the numbers touched their lowest levels in months, chatter immediately surfaced which suggested that the labor market was getting stronger.
Although the conclusion seems reasonable, Jim Cramer doesn't like to rely on one set of data to draw such an important conclusion. He likes to confirm these kinds of developments elsewhere in the market.
"And if you really want to get a read on new hiring, I always like to turn to Paychex, the second largest payroll processor in the US," said Cramer.