U.S. unemployment rate falls to five-year low of 7 percent

Employers nationwide added total of 203,000 jobs in November

Hertz CEO Mark P. Frissora, Gov. Rick Scott, and Lee County Commission Chairman Larry Kiker, left to right, shovel dirt at the ground breaking event for Hertz at its new headquarters in Estero on Nov. 26, 2013. The global headquarters is located at the intersection of U.S. Route 41 and Williams Road. The project is expected to create about 400 jobs to be filled locally and 300 positions to be filled by Hertz employees relocating to Estero.

Photo by DANIA MAXWELL // Buy this photo

Hertz CEO Mark P. Frissora, Gov. Rick Scott, and Lee County Commission Chairman Larry Kiker, left to right, shovel dirt at the ground breaking event for Hertz at its new headquarters in Estero on Nov. 26, 2013. The global headquarters is located at the intersection of U.S. Route 41 and Williams Road. The project is expected to create about 400 jobs to be filled locally and 300 positions to be filled by Hertz employees relocating to Estero.

WASHINGTON (AP) — A fourth straight month of solid hiring cut the U.S. unemployment rate in November to a five-year low of 7 percent. The surprisingly robust job gain suggested that the economy may have begun to accelerate.

It also fueled speculation that the Federal Reserve will scale back its economic stimulus when it meets later this month.

Employers added 203,000 jobs last month after adding 200,000 in October, the Labor Department said Friday. November's job gain helped lower the unemployment rate from 7.3 percent in October.

The economy has now generated a four-month average of 204,000 jobs from August through November. That's up from 159,000 a month from April through July.

After the report was released, the yield on the 10-year Treasury note rose to 2.91 percent, up from 2.86 percent just before the employment figures were announced. That was a sign that many investors think the Fed will slow its monthly bond purchases, which have been intended to keep interest rates low.

An especially encouraging sign was that much of November's job growth was in higher-paying industries. Manufacturers added 27,000 jobs, the most since March 2012. Construction companies added 17,000. The two industries have created a combined 113,000 jobs in the past four months.

Friday's report follows other positive economic news. The economy expanded at an annual rate of 3.6 percent in the July-September quarter, the fastest growth since early 2012, though nearly half that gain came from businesses rebuilding stockpiles. Consumer spending grew at the slowest pace since late 2009.

Greater hiring could support healthier spending. Job growth has a dominant influence over much of the economy. If hiring continues at the current pace, a virtuous cycle will start to build: More jobs usually lead to higher wages, more spending and faster growth.

But more higher-paying jobs are also needed to sustain the economy's momentum. Roughly half the jobs that were added in the six months through October were in four low-wage industries: retail; hotels, restaurants and entertainment; temp jobs; and home health care workers.

The Fed has pegged its stimulus efforts to the unemployment rate. Chairman Ben Bernanke has said the Fed will ease its monthly purchases of $85 billion in bonds once hiring has improved consistently.

The recent economic upturn has been surprising. Many economists expected the government shutdown in October to hobble growth. Yet the economy motored along without much interruption, according to several government and industry reports.

Early reports on holiday shopping have been disappointing. The National Retail Federation said sales during the Thanksgiving weekend — probably the most important stretch for retailers — fell for the first time since the group began keeping track in 2006.

Consumers are willing to spend on big-ticket items. Autos sold in November at their best pace in seven years, according to Autodata Corp. New-home sales in October bounced back from a summer downturn.

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Comments » 8

August8 writes:

Bekieve this and I will sell you 1/2 of the Jolly Bridge. That's the have that was shovel ready.

panola60 writes:

The Labor Force Participation Rate dropped by 0.2 percentage points in this two-month period, meaning 666,400 fewer people were in the labor force in November than in September, roughly the equivalent of an entire congressional district.

10 million fewer working age people are working today than when Obama took office and if they were added back into the unemployment equation then unemployment would easily top 12%. Under Obama 3 out of 4 jobs created have been part-time jobs because of Obamacare. Normally 3 out of 4 jobs created are full-time jobs.

To make matters worse Obama is attempting to add another 30 million new immigrant workers to the labor force to take even more of our jobs and further depress wages.

Obama proved he discourages people from being employed, self-sufficient and successful when his Administration opposed food stamp recipients from seeking employment so that millions of families on welfare will no longer be engaged in job preparation activities to help them re-enter the workforce and become self-sufficient. This has resulted in the number of able-bodied adults without children on food stamps to double in just 1 year, increasing from 1.7 million people in 2009 to 3.9 million in 2010.

Konfuzius writes:

Another big success of great President Barack Obama.

If that will happen by a thanks god never President Romney it will be the national recovery of a money manager expert.

Great President Barack Obama did good.

1Paradiselost writes:

If Obama was Jesus Christ him himself, some racist, fool would have a problem with him.

Under President Obama's leadership, the economy has added private sector jobs for 45 straight months. During this span, 7.8 million private sector jobs have been created.

http://www.dpcc.senate.gov/?p=blog&am...

You are entitled to your opinion. But you are not entitled to your own facts.

Question... What bills has John Boehners congress passed that have helped the American people?

And please, no spin!

August8 writes:

in response to panola60:

The Labor Force Participation Rate dropped by 0.2 percentage points in this two-month period, meaning 666,400 fewer people were in the labor force in November than in September, roughly the equivalent of an entire congressional district.

10 million fewer working age people are working today than when Obama took office and if they were added back into the unemployment equation then unemployment would easily top 12%. Under Obama 3 out of 4 jobs created have been part-time jobs because of Obamacare. Normally 3 out of 4 jobs created are full-time jobs.

To make matters worse Obama is attempting to add another 30 million new immigrant workers to the labor force to take even more of our jobs and further depress wages.

Obama proved he discourages people from being employed, self-sufficient and successful when his Administration opposed food stamp recipients from seeking employment so that millions of families on welfare will no longer be engaged in job preparation activities to help them re-enter the workforce and become self-sufficient. This has resulted in the number of able-bodied adults without children on food stamps to double in just 1 year, increasing from 1.7 million people in 2009 to 3.9 million in 2010.

You are far to smart to share your views here, lol

MIOCENE (Inactive) writes:

in response to 1Paradiselost:

If Obama was Jesus Christ him himself, some racist, fool would have a problem with him.

Under President Obama's leadership, the economy has added private sector jobs for 45 straight months. During this span, 7.8 million private sector jobs have been created.

http://www.dpcc.senate.gov/?p=blog&am...

You are entitled to your opinion. But you are not entitled to your own facts.

Question... What bills has John Boehners congress passed that have helped the American people?

And please, no spin!

It usually works like this with the Right Wing:
When they love someone, he can do no wrong.
When they hate someone, he can do no right.

Konfuzius writes:

in response to Hascle:

(This comment was removed by the site staff.)

I love to understand this nonsense. But I can not. Can somebody explain me this statement? Or is this below average American English?

1Paradiselost writes:

in response to Hascle:

(This comment was removed by the site staff.)

I'm a Republican, However I'm don't hate the guy (Obama) like many of the bloggers here. I try to stay away from "Hate Speak" of any type.

Many Republicans I "Hang out with" are looking forward to the second American Revolution. That revolution includes a war between the races and blood in the streets.

I do not understand a persons hate to be so strong, where they would put their family, country, and way of life in danger of being destroyed.

During that revolution, for someone's ego to think they could not be "picked off" (Shot and killed) leaving their family/children to fend for themselves is, well just plain sick! But your unbending hate is what they are counting on in order to change America.

I try to judge things in life by actions, not words. My party has no ideas anymore besides the word NO.

They have cut the rights of Americans to vote, closed polling places. Remember those long lines last year?

The Republican Congress wants to cut services to our cities, Cut the farm bill so milk goes to $8.00 a gallon, does that help YOUR family? Starve the poor so we have race riots in the streets like the 1960's.

While still maintaining public welfare/tax breaks for corporations like Exxon/Mobil, Boeing and Wal-Mart. Is this how they start the 2nd American revolution, feed the rich and starve the poor?

Is that the Ideal of America, "the shining light on the hill" you support for yourself and your family?

My hero Ronald Reagan could not be elected by today's Republican party... Why?

Reagan may not have liked Tip O'Neill's politics, however THEY worked together to get the American peoples work done! Would it have been different if Tip O'Neill was Half-black?

Did I vote for him... (Obama) no. I was 1,300 miles away on election day. I gave of myself during hurricane Sandy digging sand out of a friends house. Hopefully for us on Marco the favor is never returned!

What happened to my Republican Party?.... As a young boy in 1964 I remember holding Goldwater signs on election day with friends. Even Goldwater could not get nominated by the party today. If your not asking yourself questions by now... Is it to late for you?

Politics should be like any good marriage, one must learn to compromise. My party no longer knows that word.

They would rather destroy the America economy. Start wars without paying for them. Shut down the government and have the taxpayers on the hook for 100 billion dollars.. They accomplished NOTHING.

As I said to a friend before leaving my summer property. Until the party can run a candidate in the "Center" we will lose election after election.

We can no longer fool the American people, they have a memory. We need our politicians to serve all the people, not a select few.

For now we are the white minority. And with each passing election our numbers are going to be fewer. If we don't change, the majority of Americans will render us the Republican Party useless.

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