Sizable drop in unemployment

[justj2k78]

With the announcement today that US Jobs are in better shape than expected, what effect would you expect that to have on the price of silver? That would seem to be a positive indicator, one would think?

[NHsorter]

Yes, I agree. Better employment, better economy, higher silver. If they actually do manage to print their way out of a recession here, silver is going way up.

[tractorman]

Really? I thought silver was rising due to economic troubles and uncertainty. In a stable, growing economy I always assumed equities would do well and PMs would tank.

[AGCoinHunter]

Dont believe everything you see. Those numbers dont mean s**t. They are manipulated beyond belief.

[PolishPunisher]

Dont believe everything you see. Those numbers dont mean s**t. They are manipulated beyond belief.

I completely agree. Remember that when people stop looking for work they are no longer counted as unemployed. Also, there are at least another 10% of people who are underemployed.

[highroller4321]

Dont believe everything you see. Those numbers dont mean s**t. They are manipulated beyond belief.

+1 on that. The biggest drop is most likely caused by those who run out of benefits!

[justj2k78]

Really? I thought silver was rising due to economic troubles and uncertainty. In a stable, growing economy I always assumed equities would do well and PMs would tank.

Can't forget all of silver's industrial purposes!

As for manipulated numbers, well, sure, they could be. But so much of the "economy" is based on sentiment and the knee-jerk reaction... "good news" in big letters makes John Q. Public excited!

[NHsorter]

AG, yes the numbers are not trustworthy. I agree. But they do still influence the market at this time. I do not think that things are really getting better, but I do expect the market to rise a bit still before the next inevitable crash. The can has been kicked so cash in on it while you can.

Tractorman. Slow or negative economic growth tends to negatively affect silver because of a decrease in industrial demand. A terrible economy will tend to drive down prices (see 2008). So with "good" economic news you should see a price increase. That is one factor. The other main factor is Inflation/Money Printing.

The main reason that we all expect to see silver break records is because of Bernanke's monopoly money. The KBA-Giori presses are fired up big time. The only thing keeping all of this printing from driving the price of gold and silver WAY up is the fact that the economy totally sucks.

A recession is one thing. A complete currency collapse is another. I think we are still a ways off from a currency collapse and most investors (and therefore the market prices) agree. Just because the majority believe that does not make it true, but it does keep PM's from going too crazy just yet. So I guess what I am trying to say is that in a currency collapse SHTF type of situation you might well see a drop in silver first when things get pretty darn bad economically. But then when all hell breaks loose and the FRN's are exceedingly worthless, then people will wake up and see that PMs are real money and that is when prices will go nuts.

But I do not claim to be an expert at all!!! This is only my basic understanding of what is going on. NHsorter is a news junkie/RonPaul lover, not an economist or PHD.

EDIT: there you go, Polish, Highroller, and Just2 all hit on it before I got done typing my long winded thesis.

[PolishPunisher]

http://www.bloomberg.com/news/2011-12-0 ... 0-000.html

"The decrease in the jobless rate reflected a 278,000 gain in employment at the same time 315,000 Americans left the labor force."

So at least half of the decline in unemployment rate is people leaving the workforce.

[justj2k78]

http://www.bloomberg.com/news/2011-12-02/u-s-jobless-rate-unexpectedly-declines-to-8-6-payrolls-rise-by-120-000.html

"The decrease in the jobless rate reflected a 278,000 gain in employment at the same time 315,000 Americans left the labor force."

So at least half of the decline in unemployment rate is people leaving the workforce.

"Pay no attention to that man behind the curtain!"

[Neckro]

Arent the jobs gained around this time just holiday job numbers that are temp?

[goodcents]

Neckro I'd agree to some point but also - Once you are not collecting unemployment you are not counted in the number that always seems to be "manipulated" I think many americans rode that unemployment train for all it was worth for 18 months and now are much worse off then they were before. Now truly unemployed and no benefits.

As for the temps working the holidays they only help (the fictional numbers..lol) because they drive up the jobs created and people don't work long enough to apply for the unemployment benefit.

[Tantalar]

Temporary holiday jobs + Expiring benefits = lower unemployment numbers (according to the government)

Ya we are all screwed

[Chief]

Just more bs numbers...
This election is slowly creeping up and should come down to the question...
Are you/we really better off now than in Jan 2009?

[Hades12]

We have a lot in our area that don't really want to work any longer. rode out the benifits, adjusted their lifestyle and do something on the side.


I have been "out of work" since apr 09 Might look for a "job" again this next august when My youngest son goes to school.

[sparechange]

Smoke and mirrors.

[rainsonme]

Only 120,000 new jobs created this month. That is not enough to reduce unemployment on a monthly basis. They revise the unemployment and jobs numbers up and down. There has not been a dramatic improvement in the economy.

But another big story for gold an silver is the ECB chaning its mandate from a single purpose of fighting inflation to a dual role of fighting inflation AND deflation. The ECB is about to turn on It's printing presses. So we will have the Fed printing dollars, and loaning them to Europe, and the ECB printing Euro's. Just to add to the fire, China is cutting its interest rate. The net affect is that there will be more dollars and a lot more Euro's (and a few more Yuan's) all bidding up assets, and among those hard assets, gold and silver. I would expect all that paper to bid up precious metals, along with some stocks, in the next few months. IF the paper currencies inflate themselves too badly, gold and silver will soar. For now, I think they just rise as paper bids up metal.

[Sheikh_yer_Bu'Tay]

Just more bs numbers...
This election is slowly creeping up and should come down to the question...
Are you/we really better off now than in Jan 2009?

Another way to put it is: Did you have more LIBERTY & FREEDOM before January 2009?

[Copper Catcher]

http://www.bloomberg.com/news/2011-12-02/u-s-jobless-rate-unexpectedly-declines-to-8-6-payrolls-rise-by-120-000.html

"The decrease in the jobless rate reflected a 278,000 gain in employment at the same time 315,000 Americans left the labor force."

So at least half of the decline in unemployment rate is people leaving the workforce.

EXACTLY! Let's examine the facts, shall we?

At least one in six people rely on public assistance of some form.

Currently, one in seven Americans receive food stamps, the highest share of the population ever to do so, according to the Food Research and Action Center.

The real US unemployment rate is 16 percent if persons who have dropped out of the labor pool and those working less than they would like are counted.

Oh yea, and collectively as a nation we "only" have a $14 trillion-plus debt to be concerned about. Also there is absolutely no need to talk about the Federal Reserve gaving banks around the world $7.77 Trillion in secret loans between August 2007 and April 2010.



I'd say everything is doing just fine....Pass the marshmallows and the graham crackers please I can't afford the chocolate!

[Tourney64]

Usually this time of year the unemployment numbers are given and they say the seasonally adjusted unemployment rate. Never anything about seasonally adjusted in this report. There is a tick of lower unemployment this time of year due to increased retail and shipping jobs. Numbers are a lot worse than reported.