The February jobs numbers were not good, with non-farm employment falling 651,000 jobs and the unemployment rate increasing to 8.1percent. And according to the ADP Employment Report, small businesses cut 251,000 of those jobs.
But the good news is job losses do not appear to be accelerating. The U.S. economy lost 681,000 jobs in December and 655,000 in January.
March will likely be another bad month, but the economy should see some benefits from the stimulus package beginning in the second quarter. Modest, middle-class tax cuts will start and government hiring should go up due to federal hiring increases and state and local hiring stabilizing due to stimulus money.
King based that on the ADP Employment Report, which I’ve been following on this blog for the past few months as it went up in September and then fell every month since.
On the other hand–and good news seems to come with an “other hand” these days–ADP reports another 262,000 jobs lost last month in small business, and that’s compared to 175,000 lost the month before. But–these things are rarely that simple–both of those figures were better than the 281,000 jobs lost in December.
I think we’re all tired of all the successively bad news. What a relief to see the stock market finally go up for a couple of days, although I hope it doesn’t get jinxed and go down today.