Friday, January 06, 2006

U.S. Economy Adds 108,000 Jobs; Unemployment Rate Declines to 4.9 Percent

Our horrible economy must be on the verge of imploding... with all those employed people... working... and everything.

Jan. 6 (Bloomberg) -- U.S. employers added 108,000 workers in December, capping a year in which the economy shook off the effects of hurricanes and surging energy prices to gain more than 2 million jobs.

The unemployment rate fell to 4.9 percent from 5 percent and labor costs rose, the Labor Department said today in Washington. The December gain followed figures showing 71,000 more jobs than first reported for November and October.

The U.S. gained workers each month in 2005, overcoming a barrage of hurricanes and surging energy prices. President George W. Bush, whose approval ratings sank last year, and his economic advisers fanned out to 19 states today to say the labor market is evidence his policies are working. Business spending and job growth may aid the economy in 2006 as higher interest rates slow the housing market, economists said.

"We're carrying firm momentum into 2006 which is likely to be sustained over the course of the year," said Richard DeKaser, chief economist at National City Corp. in Cleveland.

Haven't heard much lately from the economic doomsday fringe lately and rightly so.