Jobless-aid sign-ups slip to 5-week low
WASHINGTON -- The number of unemployed workers filing for jobless benefits fell by 2,000 last week to 236,000, the lowest level in five weeks and further evidence of the strength in the labor market.
Last week's applications total was the third consecutive weekly drop, the Labor Department reported Thursday. The four-week average, a less volatile measure, declined 750 to 241,500.
The number of people receiving aid fell by 52,000 to 1.91 million, remaining near a four-decade low set last month.
Applications for unemployment benefits are a proxy for layoffs. The weekly number has been below 300,000 for close to three years, a stretch not seen in more than four decades. The government will release the November unemployment figure today, and private economists believe that figure will show unemployment remaining at 4.1 percent.
The continued low readings on weekly jobless claims show that the labor market has recovered from the devastation caused by the 2007-2009 recession.
-- The Associated Press
Kansas county pulls bid for Tyson plant
WICHITA, Kan. -- The Kansas county that's home to Wichita has withdrawn its bid for a Tyson Foods chicken processing plant after weeks of public opposition.
The Greater Wichita Partnership confirmed on Thursday that Sedgwick County has taken itself out of the running for the project. The business group echoed County Commissioner Richard Ranzau's Wednesday statement that there isn't enough support from the commission to offer Springdale, Ark.-based Tyson financial incentives to build the facility, the Wichita Eagle reported.
County officials and opponents of the plant believe Tyson wouldn't come to the county without an offer of tax breaks or other financial subsidies.
Other Kansas communities are expected to make offers to attract the plant. The facility would come with a $320 million construction budget and 1,600 permanent jobs.
-- The Associated Press
30-, 15-year mortgage rates inch higher
WASHINGTON -- U.S. mortgage rates rose this week as the economy showed signs of strength, which makes it more likely that the Federal Reserve will raise its short-term rate next week.
The rate on the benchmark 30-year fixed-rate mortgage rose to 3.94 percent from 3.9 percent last week, mortgage giant Freddie Mac said. The 15-year, fixed-rate mortgage, popular among homeowners seeking to refinance, also increased, rising to 3.36 percent from 3.3 percent.
The five-year adjustable mortgage rate rose for the third straight week to 3.35 percent from 3.32 percent last week.
Shorter-term rates are rising more quickly than longer-term debt, and the gap between the 30-year mortgage and five-year has narrowed since the summer. As a result, more homebuyers are choosing the longer-term fixed rate, Freddie Mac said.
Even with the increase, the 30-year rate is down from the beginning of the year, when it stood at 4.13 percent. Any rate below 5 percent is low by historic standards.
-- The Associated Press
October consumer borrowing up $20.5B
WASHINGTON -- American consumers increased their borrowing by $20.5 billion in October. It was the biggest gain in 11 months and reflected strong increases in the use of credit cards and in auto and student loans.
The October increase came after a $19.2 billion gain in September and was the highest showing since November 2016, the Federal Reserve reported Thursday.
The category that covers auto loans and student loans was up $12.2 billion, slightly slower than the $13.2 billion rise in September. Borrowing in the category that covers credit cards rose by $8.3 billion, up from a $6 billion increase in September and the strongest showing since November.
The solid gains were good signs for strength in consumer spending heading into the holiday shopping season. Consumer spending accounts for 70 percent of economic activity.
-- The Associated Press
Dollar General's quarter sales rise 11%
It's no secret that the retail industry is in turmoil: Dozens of chains have filed for bankruptcy protection this year, and many others are closing hundreds of stores.
But Dollar General, the Tennessee-based discount chain, is bucking the trend. The company says sales rose 11 percent in the most recent quarter as it beefed up its selection of frozen foods and added produce to some of its locations. It is opening about 900 new stores next year, and remodeling 1,000 more.
The company is focusing not just on rural areas, where many of its customers already shop for everyday necessities, but also in larger metropolitan areas where it is hoping to attract a new group of more affluent customers. By the end of this year, executives say 75 percent of Americans will live within 5 miles of a Dollar General.
"We continue to believe we operate in one of the most attractive sectors in retail," Chief Executive Todd Vasos said in a Thursday morning call with analysts. "Our customer loves the in-store treasure hunt for unique items."
-- The Washington Post
Business on 12/08/2017