US labour market backpedals, set to add impetus on Biden’s push for $1.9tn stimulus

by   |  VIEW 476

US labour market backpedals, set to add impetus on Biden’s push for $1.9tn stimulus

On Thursday, US Labour Department said in a statement that the number of Americans filing for state unemployment benefits for the first time on their lives spiralled upwards last week, driving frets of a second straight month of tarnishing in job growth despite a rapid de-escalation in a global-scale pandemic outbreak with a mass-scale pandemic vaccination campaign underway.

In point of fact, latest US Labour Department report on weekly initial jobless claims that revealed a rise in first-time applications last week, came as a surprise to many that seemingly had bolted out of the blue, as new orders for US core capital goods had been flying higher with Labour Department reporting a ninth straight month of gain in factory outputs yesterday.

US initial jobless claims rise as Biden’s stimulus push gains momentum

Nonetheless, while more than 18.3 million Americans had been on state unemployment benefits at the end of last month with millions of them would find their jobless benefits expiring by mid-March unless Biden could strike another trillion-dollar stimulus package, latest jejune weekly initial jobless report would more likely to muscle up a solid case for the US President Joe Biden-proposed $1.9 trillion in pandemic stimulus bill, suggested analysts.

Meanwhile, as the day’s Government data had revealed that initial claims for state jobless benefits rose 13,000 to a seasonally adjusted 861,000 in the week that ended on February 13 with worrisome jumps in the number of applicants in the US state of California, Illinois and Ohio, addressing to a much-needed lifeline for millions of Americans as proposed in US President Joe Biden’s $1.9 trillion fiscal stimulus bill involving a one-off $1,400 in pay-checks for almost every adult Americans, a senior fellow at The Century Foundation, Andrew Stettner said, “Robust pandemic aid is precisely the medicine the economy needs to get Americans back where they want to be, at work.