After sinking to their lowest level in early November since last spring, claims for state unemployment benefits rose during the last two weeks of November and added more than 100,000 new claims during the month, the U.S. Labor Department reported.
About 828,000 claims were filed in November’s third week, roughly 78,000 more than during the week before, department figures showed.
During that previous week, the number of new claims rose by only about 18,000.
The rising tide of joblessness stems from the COVID virus’s resurgence, which has led to new restrictions on businesses and social gatherings and to consumers sheltering at home.
Chicago has issued a new shelter-at-home order; Philadelphia has banned most indoor private get-togethers, and Los Angeles has banned indoor and outdoor dining at restaurants.
In October, U.S. personal income declined 0.7 percent and some government support programs ended, with that loss outweighing gains in wages, the U.S. commerce department reported.
During that month, consumer spending edged up 0.5 percent, the smallest gain since the economic recovery began last spring.
Consumer confidence fell in November, according to The New York Times, which also cited unspecified private sources of real-time data showing the labor market continuing to shrink.
Adding to the worries: federal bans on evictions and programs that allow borrowers to suspend mortgage and student loan payments will end on 31 December unless the Trump administration moves to extend them, which has not yet happened.
When those bans end, millions more people could face crushing financial distress.
However, not all news is bad.
Orders for high-cost items such as factory machinery rose in October, as did housing sales riding on near-record-low interest rates.
Households also have $1 trillion more in savings than they did a year ago, enabling more of them to survive potholes that might lie ahead in the economy recovery.
