Here are a few notes from the economic news this week:
- The BLS reported that consumer prices continued to rise at a rapid pace in November. The inflation rate rose to 6.8 percent over the previous 12 month period, the highest rate since 1982. Energy and new automobiles are the categories with the largest increases, so falling oil prices in the last few weeks might help reduce inflationary pressures in December.
- Weekly reports of initial claims for unemployment insurance have returned to their pre-pandemic levels over the past month. The U.S. Department of Labor reported that initial claims were only 184,000 last week; the lowest level since September 1969. This return to low initial claims is evidence of a strong labor market where firms are working hard to retain their workers.
- The BLS released the Job Opening and Labor Turnover Survey (JOLTS) for October. The number of job openings remained near record highs at 11 million. The rate of hiring continued to be strong. While still at an elevated level, the quits rate began to decline – a sign that the labor market may be starting to normalize after a period of high worker turnover.
