Less People File For Unemployment
The number of people filing for unemployment has recently decreased by 42,000 from the expected 360,000. The spring season usually creates an increase of people filing for unemployment benefits due to vacation periods such as spring break for those who work in a field related to education. This is good news because it makes up for the bad news that was reported a few days ago about the slowing down in job additions.
This report is very beneficial especially since the Fed and many investors were relying on further information about the job market to take action. The Fed can now continue to consider cutting back on their buying of mortgage securities and investors can now rebuild their confidence and continue to invest their money. This decrease in people filing for unemployment is a good sign that our economy is starting to heal. Not only does this news have economic benefits, but it is also beneficial to the government since they no longer have to give out as much money.
Written by: Jessica Ho
Source: The Wall Street Journal