Page 30 - sja feb 10
P. 30
U.S. NEWS A7
Wednesday 10 February
US Financial Front:
Businesses post more open jobs; quits rise to 9-year high
C. S. RUGABER year low of 4.9 percent. have also declined. The
Federal Reserve chair Ja- economy grew at just a 0.7
AP Economics Writer net Yellen has said that she percent annual rate in the
monitors quits as a poten- final three months of last
WASHINGTON (AP) — U.S. tial sign of an improving job year.
market. More Americans Tuesday’s figures also
companies advertised quit when they either have heighten the challenges
new jobs or are confident facing Yellen as she con-
more available jobs in De- they can find one. siders whether the Fed
Some economists were en- should continue raising the
cember and more Ameri- couraged by the job open- short-term rate it controls,
ings report. and when.
cans quit, trends that could “Despite the turmoil in fi- A lower unemployment
nancial markets and in- rate, more quits and more
lift wages in the coming creasing talk of recession, job openings suggests
the labor market continues employers are having a
months. to improve and is moving harder time keeping their
toward full employment,” employees and attracting
The number of job open- said Gus Faucher, senior new workers. Raising pay
economist at PNC Finan- is one way to respond to
ings jumped 4.9 percent to cial. “The tightening in the those challenges.
job market is pushing up Higher pay, in turn, could
5.6 million, the most since wages, which in turn is sup- lift inflation, as companies
porting consumer spend- raise prices to offset larger
July, the Labor Department ing.” labor costs. q
Other analysts worry that
said Tuesday. And quits signs of an economic slow-
down could soon catch up
increased 6.9 percent to with the job market.
“As fate would have it, the
nearly 3.1 million, the high- job market may be feeling Reece Lightner fills out a job application for a server at a job fair
healthy, just as the rest of held by The Genuine Hospitality Group, in Miami. On Tuesday,
est in more than nine years. the economy is downshift- Feb. 9, 2016, the Labor Department reported on job openings
and labor turnover for December.
People typically quit for
(AP Photo/Lynne Sladky)
better-paying positions, so
more quits are a sign that
overall pay levels could
increase. Employers have ing,” said Joe LaVorgna, ing in the face of slowing
chief U.S. economist at overseas growth and the
also struggled to fill many Deutsche Bank. stronger dollar, while mea-
U.S. manufacturing is shrink- sures of the service sector
open jobs, which could
push them to offer higher
pay to attract workers.
The data comes after
the government said
last week that hiring had
slowed sharply in January.
Yet wages grew at a solid
pace, and the unemploy-
ment rate fell to an eight-
Energy agency says gasoline
to average under $2 in 2016
The Associated Press The pump savings are a di-
rect result of the 70 percent
For the first time since 2004, collapse in crude oil prices
U.S. drivers are expected since mid-2014. Earlier Tues-
to pay an average of less day, the International En-
than $2 a gallon for gaso- ergy Agency said the sup-
line, the government said ply of oil is set to outpace
Tuesday. demand again this year,
They can thank the huge keeping a lid on any ex-
glut of oil around the globe. pected price increases.
The U.S. Energy Information Global supplies could ex-
Administration said in its ceed demand by as much
monthly short-term energy as 2 million barrels a day in
outlook that regular gaso- the first quarter, the agen-
line will average $1.98 a cy said.
gallon nationwide in 2016. “If these numbers prove
The last time oil averaged to be accurate, and with
less than $2 for a full year the market already awash
was 2004, which was also in oil, it is very hard to see
the last time gasoline at how oil prices can rise sig-
stations in some states fell nificantly in the short term,”
below $1 a gallon. the IEA said.q
