US posts lowest jobless statistics for four years
THE US posted strong unemployment figures, manufacturing output and housing data yesterday.
The Standard & Poor’s 500 index rose 1.12 per cent on the back of the encouraging figures, as new jobless claimants fell to their lowest level since March 2008.
The Labor Department figures registered a fall of 13,000 to 348,000 last week, well below economists’ forecasts.
In a separate report, the Philadelphia Federal Reserve Bank said its business activity index rose to 10.2 this month from 7.3 in January as orders jumped.
Though factories in the region hired fewer workers this month, they increased hours for existing employees, which bodes well for wage growth. In addition, order backlogs are rising and factories are taking a bit longer to make deliveries.
Healthy figures also came from the Commerce Department, which reported that housing starts rose 1.5 per cent to an annual rate of 699,000 units last month.
Starts were boosted by multi-unit buildings, reflecting growing demand for rental apartments as Americans move away from homeownership.
Permits for future home construction rose 0.7 per cent to a 676,000-unit pace in January.