A recently released report showed that the number of workers receiving employment benefits climbed to a 25-year high of 3.9 million on the week ended Nov. 1. First-time claims increased from 484,000 to 516,000. Imports have dropped by the highest amount on record ? 5.6%. Exports, especially of aircraft and computers, also went down. Chief Economist at Nomura Securities, David Resler, says that at this point not even a second round of government stimulus will enable a quick rebound. Furthermore, the unemployment rate is likely to increase further as this week?s cuts at Citigroup, Goldman Sachs and Circuit City begin to register on payrolls and jobless benefit records.
See "Reports on jobless benefits, exports signal deeper slump", Los Angeles Times, November 18, 2008