The latest jobless report is better than expected. But there are several key factors keeping the U.S. economy down.
The number of Americans seeking unemployment benefits dropped below one million last week for the first time since the start of the pandemic. Yet unemployment remains high overall. Bankrate senior economic analyst Mark Hamrick says a lack of a new stimulus package is holding us back. The White House says Democrats have stonewalled those efforts. The other key factor he says? Uncertainty about the future.
“At the end of the proverbial day, the most important thing to watch right now is way that the virus behaves, because that is at the core of the cause of the economic downturn,” Hamrick said.
In addition, some economists say the recent expiration of a 600 dollar weekly unemployment supplement may have discouraged some from filing claims. The president extended those expiring benefits via an executive order at a 400 dollar a week rate.