Catherwood LibraryILR School

The Labor Department expressed anxiety today over the unemployment data for this week. Applications for unemployment insurance rose by 15,000 this week, despite expectations that the numbers would continue to fall. Fears were compounded by continued reports of poor sales during the usually busy back-to-school period. At the same time, reports showed improved productivity and a decrease in labor costs, reversing a three month rise. This is good news for the US economy, which risks inflation if labor costs rise more quickly than productivity. The reports also saw an improved situation in the service sector.