Jobless Claims Fall, Giving Recovery Credence

ByJohn S. McClenahen Complementing the cautious optimism reflected in the Federal Reserve System's "beige book" of regional economic activity, initial claims for unemployment insurance fell to 384,000 for the week ending Jan. 12. That figure is 14,000 less than the revised mark of 398,000 claims for the week ending Jan. 5, says the U.S. Labor Department's Employment & Training Administration. An increase in claims had been expected for the week ending Jan. 12, as California paid higher benefits to jobless workers. With one exception, U.S. initial claims for unemployment insurance have declined during the past eight weeks, and that -- coupled with the fact they are running under 400,000 per week - gives credence to the notion that the U.S. economy is in the early stages of recovery from recession.