State of Connecticut Unemployment

The unemployment figures that the Labor Department released earlier last month showed a national increase from 7.2% to 7.6%. Forecasters are calling for the potential of a double digit number if not this year then possibly the first quarter of 2010.

Right now Wall Street is in full swing of corporate earnings releases. Of the earnings releases that have been announced so far it would appear the labor market has some tough times ahead for it. My estimation is that at least a third of the corporate earnings announcements have come with the news of job cuts. As the economy worsens companies are looking for ways to cut expenses.

Connecticut so far has not been insulated from the downturn in the economy. Unemployment has been on the rise statewide. From June of 2007 to December 2008 the total jobless claims in the state went from 81,000 in June to almost 125,000 in December of 2008. The unemployment rate nationwide is 7.6% and Connecticut is currently at 6.6% not very far off from the national average.

The job market is going to be the key as I have said before to the recovery of the economy both nationally and in the nutmeg state. If we can stabilize the job market we can start to see a recovery statewide in the Connecticut economy and National economy as well as the real estate and mortgage market’s both nationally and in Connecticut.