Twenty-City Home Price Index Increases 1.7 Points in April

Nearly all markets increased in April’s Case-Shiller Home Price Index Report. The 10-city index climbed 1.89 to 148.4 while the 20-city increased 1.72 to 135.8. However, the 10-city is down 2.2% and the 20-city is down 1.9% compared to April 2011. Detroit was the only declining market in April–falling 2.45 to 65.26. The most notable increases were Washington DC (up 4.89 to 181.3), San Francisco (up 4.27 to 130.21), and Phoenix (up 2.63 to 109.01).

For more information, see our Home Price Index Report

Only 4.2 Jobs Created for Each Million Dollars Profit

Private job openings per million dollars corporate profit continues its catastrophic decline. For each million dollars in profit gained by a corporation, only 4.2 jobs are created. This is 73.9% lower than April 2011 and 93% than four years ago in April 2008. Essentially, although companies are making more money, they are essentially not creating jobs with increases in profitability.

Job Openings Down 8.7% in April

Giving more teeth to the rough May job numbers, the April job openings and labor turnover report showed contracting employment in April. Total nonfarm job openings fell 325,000, or 8.7%, to 3.42 million. Hires dropped 160,000, or 3.7%, to 4.18 million. However, compared to last year both are up: openings increased 13% since April 2011 while hires rose 4%. Separations also declined, falling 81,000 to 4.09 million. Finance / Insurance and Information saw the only job opening gains, rising by 4,000 and 7,000, respectively.

For more information, see our Job Openings and Labor Turnover Report.

Trade Deficit Shrinks $2.6 Billion in April

The US’ trade deficit shrank $2.6 billion in April to $50 billion, according to today’s trade balance report. Although imports from China rose $1.5 billion, there were a number of significant import drops. Japanese imports dropped $1.9 billion, Mexican imports slipped $1.7 billions, and Canadian imports fell $1.5 billion, and all other countries dropped slightly. Exports fell as well, with the UK falling $2.4 billion, Canada dropping $1.5, and Mexico shrinking by $1.3 billion.

For more information, see our Trade Balance Report.

Manufacturing Capacity Utilization Increased .4% in April

Manufacturing capacity utilization increased .4% in April to 78.4%. It has been above 78% since January. It is up 3.6% since April 2011 and 8.1% since April 2010.

–From the St. Louis Federal Reserve

Unemployment Drops to 8.1% in April

The unemployment rate dropped .1% to 8.1% in April. Although this appears to be good news, it seems many of these people dropped out of the measured labor force. There were 115,000 new jobs added to the economy in April, but that is not enough to account for a .1% drop. The employment-population ratio dropped .1% to 58.4% while the labor force participation rate dropped .2% to 63.6%. Of particular concern is the number of people unemployed for six months or longer which dropped 207,000 this month. Since far more people went off unemployment than got jobs and the participation rate dropped, many of these long-term unemployed have now simply dropped out of the economy.

For more information see our Employment Report.

–From the BLS and the St. Louis Federal Reserve

Unemployment Claims Down 27,000 Last Week

Initial unemployment claims fell 27,000 the last week of April after having increased the four previous weeks. Initial claims are an incredible 10.8% lower than this week last year.

-From the BLS

Payroll Increased 119,000 in April

According the ADP employment report, US payrolls added 119,000 new jobs, an increase of .1%, in April 2012. Payroll is up 1.7% over  last year and 3% over two years ago. The BLS will provide a lot of additional context when they release their monthly employment report on Friday.

–From ADP

ISM Manufacturing Composite Index Increased 1.4 Points in April

The ISM’s manufacturing index increased 1.4 points to 54.8 in April, meaning that the manufacturing sector increased the speed of its expansion. The backlog of orders dipped below 50, after three months above it, to 49.5. In other words, order backlogs are shrinking for the first time since last December. In addition, the employment index increased 1.2 points to 57.3–the highest figure since June 2011. The price index held steady at 61.

–From the St. Louis Federal Reserve