Page 7 - atoday

U.S. NEWS A7
Friday 16 October 2015

US Financial Front:

Applications for US unemployment aid drop to 42-year low

Alexander Haupt, left, 21, of Miami, looks over his job applica- 265,000, the lowest since and only 136,000 in August, to cut back on their orders
December 1973. below the average of for steel pipe and other
tion during a job fair at Dolphin Mall in Miami. The U.S. Labor There are signs the econ- nearly 229,000 in the previ- equipment, another blow
omy has slowed in recent ous 12 months. to factories.
Department reported on the number of people who applied weeks, in part because Industries that have been The economy is expected
the strong dollar has cut directly affected by slower to expand just 1 percent to
for unemployment benefits during the week ending Oct. 10 on into exports and over- growth overseas and by 1.5 percent at an annual
all hiring has weakened. the stronger dollar, such rate in the third quarter, a
Thursday, Oct. 15, 2015. (AP Photo/Wilfredo Lee) Americans have also been as manufacturing, have sharp drop back after 3.9
reluctant to spend. But fal- been cutting jobs. The dol- percent growth in the sec-
C. S. RUGABER said Thursday that weekly tering growth has not yet lar has risen about 13 per- ond quarter.
AP Economics Writer applications for unemploy- led businesses to cut jobs. cent in value against for- All of which complicates
WASHINGTON (AP) — The ment benefits fell 7,000 The weekly applications eign currencies in the past the Federal Reserve’s de-
number of Americans to a seasonally adjusted are a proxy for layoffs and 12 months. cision on when to raise
seeking unemployment 255,000. Applications last have been below 300,000 That makes U.S. exports short-term interest rates,
aid fell last week, matching touched that level in July, since March, a historically more expensive in interna- which have been pinned
the lowest level in 42 years, but before that hadn’t low level that typically tional markets while lower- at nearly zero since De-
strong evidence that em- been so low since Novem- points to solid hiring. ing the price for compet- cember 2008. Fed Chair
ployers remain confident ber 1973. Yet hiring has stumbled in ing imports. Growth has Janet Yellen has said it
enough in the economy to The four-week average of the past two months, rais- also slowed or come to a would likely be appropri-
hold onto their staffs. applications, a less vola- ing worries that employ- halt in large economies ate to raise rates before
The Labor Department tile measure, dropped to ers have turned cautious such as China, Canada, the end of this year, but
about adding jobs. The Brazil and Europe. slowing growth and weak-
U.S. economy gained just Falling oil prices have also ening inflation could delay
142,000 jobs in September caused drilling companies that move.q

US consumer prices drop 0.2
percent through September

PAUL WISEMAN core consumer prices rose
AP Economics Writer 0.2 percent from August
WASHINGTON (AP) — U.S. and 1.9 percent from Sep-
consumer prices were tember 2014.
dragged lower again last The Federal Reserve wants
month by plunging energy to see annual inflation run-
costs, according to the La- ning close to 2 percent.
bor Department. The overall number is well
The consumer price index short of that goal, but core
fell 0.2 percent in Septem- inflation is close. The Fed
ber, following a 0.1 percent decided last month to hold
drop in August. Gasoline off on a long-anticipated
prices dropped 9 percent increase of short-term inter-
last month after falling 4.1 est rates, which it has kept
percent in August. Over- near zero since December
all consumer prices were 2008.
unchanged over the past An economic slowdown in
year. China has pushed down
Excluding volatile food and prices of commodities, in-
energy prices, so-called cluding oil.q