"Even with the unexpected decline, claims remain at a level that indicates the labor market is under stress from the sluggish economy."

Too early yet to say whether this is a good sign or the more ominous one that folks have been out of work so long they can't even file any longer and have given up even bothering to look for a job. It seems to me however, that whenever new leadership gets ready to take over the White House, the economy improves as investors and employers and citizens in general seem to have renewed hope and confidence that the new guy (or - gasp - girl) will be able to do what the old guy couldn't. Let's face it, it won't be hard for any new president to outdo the positive things our current Commander in Chief has to his credit. And I don't care which party you belong to, you know this is true. All we can hope is that confidence is sufficiently restored enough to start the wheels turning again. I'll be keeping fingers, toes, eyes, whatever I can, crossed that this will indeed by the case. From what I hear in the voices on the street, I won't be alone, either.

Jobless claims drop to lowest level in 4 weeks

Associated Press • May 22, 2008

The number of newly laid off workers filing for unemployment benefits unexpectedly fell last week to the lowest level in a month.

The Labor Department reported today that applications for jobless benefits totaled 365,000, down by 9,000 from last week. Economists had expected claims to rise slightly.

Even with the unexpected decline, claims remain at a level that indicates the labor market is under stress from the sluggish economy. The four-week average for claims rose slightly to 372,250, up significantly from a year ago when the four-week average was around the 300,000 mark. The level of jobless claims has been difficult to read over the past several weeks because of troubles adjusting the claims figures to take into account this year's early Easter and the impact of a strike at an auto parts supplier for General Motors. However, economists note that the trend for claims has been rising since last fall. The number of people receiving unemployment benefits was above the 3 million mark for the week ending May 10, the fourth straight week that has occurred. That is a level of continuing claims that has not been seen since 2004. The Federal Reserve released a new economic outlook on Wednesday that showed Fed officials now expect economic activity to be much more sluggish this year, with the unemployment rate expected to rise more than the Fed had been forecasting.