Are Weekly Jobless Claims Becoming Impossible for the Markets to Rely Upon?

September 19, 2013 by Jon C. Ogg

The U.S. Labor Department has long had criticism of its calculations, reporting and even its computer systems. That has been true under all administrations in our lifetimes, and may be true under all administrations going forward. Now the weekly jobless claims report is another mystery, despite being among the lowest readings in six years. It turns out that the two states that did not report claims last week are still out of the tabulation business in jobless claims.

That error last week created a very artificially low reading of 292,000, and that figure was revised higher by only 2,000 on Thursday. It matters because it may have artificially made it the smallest claims figure since before the recession.

This week’s reading also was missing two states and was reported as 309,000. Dow Jones had estimates of 330,000, and Bloomberg had estimates of 341,000, but the truth is that estimates just do not matter if you have one large state and one small state not counting their claims.

If the Labor Department cannot get its numbers straight, then the reality is that the markets simply will ignore these numbers until they are tabulated properly. Let’s just hope that they get their numbers straight before the September unemployment and payrolls report, which will be released on Friday, October 4.

Essential Tips for Investing: Sponsored

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.