Stocks are lower as jobless claims fall 5,000 last week

(As of 7:15 am PST - Thursday, 2/7/2013)

 

Stocks are retreating this morning as the Labor Department reported jobless claims fell 5,000 last week to a seasonally adjusted 366,000.   The number of people filing for unemployment benefits has been nearly unchanged for the past 6 months indicating that labor market conditions are showing little signs of improvement.  Another report showed that US productivity fell by 2% in the 4^th quarter, despite upward revisions to productivity in the 3^rd quarter.  Productivity for the year was 1%, lower than the 40 year average of 1.9%.  Wages for US workers rose an inflation-adjusted 0.3% in the 4^th quarter.  Investors are taking the opportunity to take profits as the market has rallied this year.   In Europe, stocks are mixed and Asian markets are lower with investors locking in gains ahead of next week’s Lunar New Year holiday.  Markets in China, Taiwan, and Vietnam will be closed all of next week.  Gold is lower by 0.6% and oil is slightly higher at $96.75 per barrel.