When the much-anticipated December jobs report is released tomorrow, CNN warns it will likely not be worth writing home about.
The economy added just 77,000 jobs in November, a full 94,000 less than October’s numbers. The unemployment rate is expected to climb as well, as 451,000 people filed new unemployment claims roughly two weeks after Sandy hammered the East Coast – with 82,000 of those claims coming from Sandy impacted areas.
Though there has been some debate among economists regarding the overall economic impact of a storm like Sandy, the majority are pessimistic.
“Economists at Deutsche Bank have studied the top 10 most devastating hurricanes and they expect Superstorm Sandy will suck about 150,000 jobs from what otherwise would have been a solid month for hiring. “ CNN reports.
Sandy isn’t the only factor likely to impact Friday’s job report either, as the well-publicized Hostess closing resulted in a staggering 18, 500 layoffs.
“Altogether we see a subdued employment picture as a result of Hurricane Sandy and only expect a modest rebound in hiring in subsequent months pending a resolution to the fiscal cliff,” said Cooper Howes, a U.S. economist for Barclays in the CNN report.
Only time will tell how the economy will recover from these two huge hits. As always, we will be covering it every step of the way. What are your predictions for the upcoming jobs report?