BEIJING (AP) — Financial markets can cope with the impact of a Chinese real estate developer that is struggling to avoid defaulting on $310 billion in debt, the central bank governor said Thursday, in a new effort to assure the public the economy can be shielded from fallout.
Yi Gang’s comments by video to a seminar in Hong Kong added to indications Beijing has no plans to bail out Evergrande Group. Fears of a default have rattled financial markets, but economists say the ruling Communist Party wants to avoid sending the wrong signal at a time when it is trying to force companies to cut high debt burdens.
“The short-term risks of individual real estate companies will not affect the normal financing function of the medium- and long-term market,” Yi said, according to a transcript released by the central bank.
“Evergrande’s hazard is a market event that will be properly handled in accordance with market principles and law,” Yi said. Investors’ interests “will be protected in accordance with the law,” he said.
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Default is all but certain after Evergrande, the global real estate industry’s most indebted company, warned Friday it might run out of cash. The company says it has 2.3 trillion yuan ($350 billion) of assets but it is struggling to sell them fast enough to pay its debts.
Beijing can keep lending markets functioning if Evergrande defaults, and local officials can mobilize to contain turmoil in real estate markets, economists say. The central bank released 1.2 trillion yuan ($190 billion) from bank reserves for additional lending on Monday.
Evergrande and its creditors have yet to confirm news reports the company failed to make a payment due this week on a U.S.-dollar-denominated bond sold abroad.
Evergrande, headquartered in the southern city of Shenzhen, is the biggest company caught in a campaign launched by Beijing last year to force developers to reduce soaring debt that is seen as a threat to economic stability. Smaller developers have gone bankrupt, missed debt payments or warned they might default.
Total Chinese corporate, government and household debt has risen to about 300{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of annual economic output from 270{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in 2018, unusually high for a middle-income country.
Another developer, Kaisa Group Holdings Ltd., warned it might fail to pay off a $400 million bond due Tuesday. The company has yet to confirm news reports that it missed the payment, but Fitch Ratings on Thursday cut Kaisa’s credit rating to “restricted default” while it waited for confirmation.
The slowdown in real estate sales and construction caused by the debt campaign helped to depress China’s economic growth to an unexpectedly low 4.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} over a year earlier in the three months ending in September. Forecasters expect growth to decelerate further if the financing curbs stay in place.
Copyright 2021 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Do you struggle with saving? This method may help you prioritize your savings goals.
Saving money is an essential financial habit. Whether you’re saving for future expenses, emergencies, or retirement, having extra money set aside is beneficial. Creating a savings and investing plan is the best way to prepare for your future financial needs. Every month, I save money for various future needs, including retirement. Find out why I treat my savings and retirement contributions like a bill.
It’s easy to neglect savings
There were times in my life where I didn’t prioritize saving. Sometimes I planned to save and forgot, and other times I decided to spend my extra money instead of saving it. Because of this, I didn’t always have the money that I needed on hand. Whenever something unexpected happened, I often had to use a credit card.
While credit cards can be a helpful financial tool, they come with risks and should be used carefully. If you don’t pay the card balance in full, you’ll be charged interest. Credit card interest can be expensive, and it adds up quickly. If you have an emergency fund established for unexpected costs, it makes life a lot easier and less stressful. That way, you’ll have money on hand to pay for an unexpected expense rather than charging it to a credit card.
After neglecting my savings goals for some time, I knew that I needed to come up with a plan and force myself to save. I found a strategy that works for me, and now I worry about finances a lot less.
I treat my savings like a regular expense
I now treat my savings contributions like a regular expense. Every month, I have to pay for life expenses like my mortgage, electricity, cable and internet, and car insurance. I treat my savings and retirement contributions the same way.
I mark these bills on my calendar just like I do my other expenses. That way, I anticipate the cost coming up. I set up autonomic savings contributions so the money automatically comes out of my checking account. This way, I won’t forget.
When it comes to saving for retirement, this is especially important for me as a freelancer. I don’t have an employer-sponsored retirement account, and I need to make sure I’m planning for my future. This savings method is also helpful because I pay my self-employment taxes quarterly. With my automatic savings withdrawals, the money is there when I need it.
Give this method a try
If you keep making excuses or find that you forget to save money, it may be time to try following a similar strategy. If you act like your savings contributions are a regular bill, it becomes something you must do instead of something you might do.
Contributing money bi-weekly or monthly is an excellent way to ensure you meet your savings goals. You can open a new savings account and automate your savings. Having a separate bank account can make it easier for you to avoid spending the money.
Planning for your retirement years is also essential. Whether there comes a time when you’re no longer able to work or you choose not to, you want to make sure that you can continue to live comfortably without financial worry. If you’re not yet saving for your retirement years and want to research options, here are some of the best IRA accounts.
Saving money doesn’t have to be a chore. Treat your savings and retirement contributions like a bill and automate your savings so you have less to worry about each month. If you’d like to learn other ways to improve your financial situation, check out our personal finance resources.
Markets closed mostly lower on Thursday, ending a mixed trading session that followed record-low initial jobless claims.
The S&P 500 posted a loss of -0.72{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in afternoon trading, erasing gains from a recent rally that brought it near a record. The Nasdaq Composite also lost steam, falling 1.72{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, or 269.62 points, to 15,517.37 as tech stocks took a hit, while the Dow remained flat after choppy trading this week.
The stock moves on Thursday followed the release of fresh data from the U.S. labor department that showed the number of Americans filing initial jobless claims fell to the lowest level since September 1969. Weekly jobless claims fell to 184,000, below the pre-pandemic average of about 220,000 per week, pointing to a tightening labor market as employers seek to retain workers.
“I think what we’ve learned from the jobless claims is that it’s another affirmation that the labor market is increasingly tight,” Principal Global Investors Chief Strategist Seema Shah told Yahoo Finance Live. “We can see clearly that there’s very strong demand for employment. The area which is holding back the full recovery is from the supply side.”
“It looks like employers need to do more,” Shah added. “Wage increases are probably on the agenda for next year, and that’s part of the broadening of inflation pressures that we’ve already started to see come through in CPI data.”
Shah told Yahoo Finance, however, that her firm expects other parts of the inflation picture to fade and the 6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}-7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} consumer price figures likely to be seen in tomorrow’s report release should fall back to 3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}-4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} by the end of next year.
“If COVID gradually improves rather than a major resurgence in 2022, we expect to see a continued recovery in the U.S. economy — continued recovery in services spending,”
The U.S. Food and Drug Administration granted emergency use authorization of Pfizer Inc and BioNTech’s COVID-19 vaccine booster shot for those aged 16 and 17 as the CDC strengthens its recommendations for those who are eligible to get a third dose.
Shares of Pfizer (PFE) were up 0.67{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} on Thursday, trading at $52.07 per share.
Electric vehicle companies slumped Thursday, led by a selloff of shares of Lucid Group (LCID).
The company erased $11 billion in market value following a proposal to offer $1.75 billion of convertible senior notes expected to be sold to institutional buyers in a private offering. The decline also marked the second nosedive this week for shares of Lucid, which hovered around bear market territory Monday following disclosure of an investigation by the SEC of a recent SPAC merger.
Other electric vehicle companies extended losses following a three-day rally along with a broader market slump. Rivian (RIVN) was down by 7.26{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $114.89 per share, Tesla (TSLA) fell 4.94{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $1,016.12, and Workhorse Group (WKHS) slid 5.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $5.18. Nikola (NKLA) was down 0.44{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $9.92, Lordstown (RIDE) fell 5.93{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $4.20, and Canoo (GOEV) dropped 7.18{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $9.44 in intraday trading.
4:01 p.m. ET: Stocks end lower after three days of gains
Here were the main moves in markets as of 4:01 p.m. ET:
S&P 500 (^GSPC): -33.68 (-0.72{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 4,667.53
Dow (^DJI): +0.53 (+0.00{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 35,755.28
Nasdaq (^IXIC): -269.62 (-1.71{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 15,517.37
Crude (CL=F): -$1.75 (-2.42{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $70.61 a barrel
Gold (GC=F): -$8.90 (-0.50{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $1,776.60 per ounce
10-year Treasury (^TNX): -2.2 bps to yield 1.4870{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
Shares of electric vehicle maker Lucid Group (LCID) wiped out $11 billion in market value following a proposal by the company to offer $1.75 billion of convertible senior notes expected to be sold to institutional buyers in a private offering.
The decline marks the second nosedive this week for shares of Lucid, which hovered around bear market territory Monday following disclosure of an investigation by the SEC of a recent SPAC merger.
Other electric vehicle companies extended losses following a three-day rally along with a broader market slump. Rivian (RIVN) was down by 7.26{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $114.89 per share, Tesla (TSLA) fell 4.94{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $1,016.12, and Workhorse Group (WKHS) slid 5.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $5.18. Nikola (NKLA) was down 0.44{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $9.92, Lordstown (RIDE) fell 5.93{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $4.20, and Canoo (GOEV) dropped 7.18{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to $9.44 in intraday trading.
2:09 p.m. Nasdaq extends decline to 1.1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
The tech-focused Nasdaq composite extended its decline on Thursday, falling as much as 1.1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in afternoon trading to 15,611.08 after a volatile week for U.S. stocks as they climbed in a three-day recovery rally.
Markets were mostly lower in the second half of the day, with the S&P 500 also down 13.08 points to 4,688.47. The Dow gained 87.34 points, turning positive earlier in the day after a dip in morning hours.
1:49 p.m. Brazil’s Nubank debuts on Wall Street
Shares of Nu Holdings (NU), the Warren Buffet-backed Brazilian financial technology that does business as NuBank, jumped as much as 36{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} on its inaugural trading day Thursday.
Nubank’s U.S. initial public offering makes it the most valuable financial institution in Latin America, surpassing Itau Unibanco Holding SA, with a $38 billion market value. The company’s IPO follows a record wave of Brazilian listings, adding to nearly 50 companies that raised more than 65 billion reais ($12 billion) this year.
The company’s backers include Warren Buffet’s Berkshire Hathaway, which is reported to have taken a $500m stake in NuBank in June, valuing the company at $30 billion at the time.
Morgan Stanley, Goldman Sachs Group Inc. and Citigroup Inc. led the IPO. Shares began trading midday Thursday under the ticker NU.
12:42 p.m. ET: Dow rebounds after opening dip
The Dow Jones Industrial Average bounced back in midday trading on Thursday following a slide by all three major U.S. indexes at the open.
The Dow was up slightly by 13.08 points, while the S&P 500 continued to edge lower, down 10.95 points to 4,690.26. The Nasdaq composite also remained in the red, falling by as much as 0.75{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.
Markets shrugged off data from the U.S. Labor Department released Thursday morning that showed the number of Americans filing initial jobless claims fell to the lowest level in half a century, opening lower in early trading and concluding a recovery rally that spanned three trading sessions.
US wholesale inventories climbed above estimates in October as companies stock up for holiday season demand.
Latest figures from the Commerce Department released Thursday showed wholesale inventories rose 2.3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, slightly more than the 2.2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} estimated last month and 14.4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} up from a year earlier.
The rise in inventories at wholesalers suggests restocking of warehouses could support economic growth this quarter. U.S. businesses recently struggled to hold inventories on hand due to supply chain delays and strong sales.
10:45 a.m. ET: Gamestop trades lower following disappointing earnings
Shares of Gamestop (GME) dropped in early trading after the video game retailer posted Q3 earnings Wednesday reflecting widening quarterly losses that disappointed investors. The stock was down by as much as 6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} after markets opened on Thursday.
Wedbush analyst Michael Pachter cut his price target from $45 to $50, attributing the downgrade to lack of clarity from management on a digital transformation plan for the company promised in the past that “has yet to crystalize.”
“Another quarter, still no turnaround strategy in sight,” Pachter wrote in a note to clients.
The video game company and meme-stock darling reported a quarterly loss of $1.39 per share, higher than consensus estimates.
9:36 a.m. ET: Stocks open lower
Here were the main moves in markets as of 9:36 a.m. ET:
S&P 500 (^GSPC): -10.44 (-0.22{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 4,690.77
Dow (^DJI): -134.51 (-0.38{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 35,620.24
Nasdaq (^IXIC): -19.58 (-0.12{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 15,767.41
Crude (CL=F): -$0.54 (-0.75{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $71.82 a barrel
Gold (GC=F): -$2.80 (-0.16{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $1,782.70 per ounce
10-year Treasury (^TNX): -1.7 bps to yield 1.4920{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
8:30 a.m. ET: Jobless claims hit new record low
New weekly jobless claims came in well below expectations and reached its lowest level since September 1969. The Labor Department reported that 184,000 claims were filed for the week ending Dec. 4. Claims are hovering below their pre-pandemic levels.
Continuing claims, which represent the number of individuals still receiving unemployment benefits via regular state programs, have also come down and held below 2 million last week. For the week ended Nov. 27, continuing claims was 1.992 million.
8:30 a.m. ET Thursday: Stock futures slip
Here were the main moves in markets in early trading Thursday:
S&P 500 futures (ES=F): -19.25 points (-0.41{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 4,679.75
Dow futures (YM=F): -157 points (-0.44{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 35,589
Nasdaq futures (NQ=F): -67.50 points (-0.41{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 16,324.75
6:57 p.m. ET Wednesday: Stock futures open flat
Here were the main moves in markets in late trading on Wednesday:
S&P 500futures (ES=F): -1.75 points (-0.04{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 4,697.25
Dow futures (YM=F): + -8 points (-0.02{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 35,728
Nasdaq futures (NQ=F): -16.50 points (-0.10{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 16,375.75
—
Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc
Read the latest financial and business news from Yahoo Finance
This week, health officials identified the first cases of the omicron variant in Florida. What that means going forward is still unknown, but it puts future plans at risk all over again.
The uncertainty over more coronavirus outbreaks and closures is leading travelers to buy travel insurance at record rates, according to Megan Moncrief, the chief marketing officer at St. Petersburg-based Squaremouth. The travel insurance agency saw sales increase by 53 percent following the arrival of omicron.
Concerns about canceled travel plans are higher now, compared to the 20 percent spike Squaremouth saw following the delta variant, Moncrief said. Even with delta, the travel industry was still fairly optimistic as borders reopened to foreign travelers.
Related: Tampa International Airport plans to restore routes as U.S. border opens to vaccinated travelers
“Going into the holidays, there was quite a bit of confidence with a lot of destinations open,” Moncrief said. “Then the new variant made everyone a little bit shell shocked.”
Moncrief spoke with the Tampa Bay Times about what’s driving traveler concerns and what travel insurance can cover. This interview has been edited for length and clarity.
How could the omicron variant impact travel plans?
We spoke to a lot of our customers to gauge concerns. They seem to be shifting more toward travelers worried if they’ll contract COVID-19 or have to quarantine. With the variant, we immediately saw three countries close their borders, one of which is Israel, currently our fourth top international destination, so a very popular country as far as U.S. tourism. We all know those border closings happened last year and caused this huge drop in travel altogether. Travelers had trips booked and then were immediately nervous that the border was once again going to close.
Megan Moncrief, the chief marketing officer at St. Petersburg-based Squaremouth. [ ASHLEE HAMON PHOTOGRAPHY, INC | Ashlee Hamon Photography, INC ]
How is the omicron variant affecting expectations that international travel would rebound after the U.S. border reopened to foreign travelers last month?
It’s kind of a wait-and-see pattern right now. We’re seeing a lot of chatter about additional restrictions: more negative tests, vaccines and quarantine requirements potentially upon a return or even arrival. We haven’t seen widespread closures like we did in early 2020. But it’s still pretty early.
Obviously the holidays are a busy travel season. Our sales are up as far as insurance, but that doesn’t mean travel is up. It could just be more scared travelers. Or it could mean more people booking trips and therefore booking insurance.
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Related: Tampa International Airport sees record travelers for Thanksgiving
How should travelers prepare if they want to go out of the country right now?
There’s so much out there and it can be hard to find one place that has the most current information. We’re urging our customers before they even book a travel insurance policy to find out everything that you can from their destination, airlines and hotel. Understand what policies are in place, what requirements there are of you, when do you need to have your negative test, do you need to be vaccinated at your destination?
Don’t spend more money on a policy than you have to on what could already be an expensive trip. Look into a travel insurance policy for any gaps there might be.
What does travel insurance not cover?
The big gap right now is a border closure. Travel insurance policies don’t have the term ‘border closure’ or anything related to a border closure included under a standard trip cancellation policy.
Now, there are a few that will provide coverage for a government-issued travel warning, like a CDC level 4 alert or higher. So that can potentially be helpful in this scenario as long as the policy is purchased before that alert is issued.
Unfortunately, prior to 2020 this was never a main concern. So it’s going to take time for the travel insurance providers to adjust their coverage and adhere to these new and evolving kinds of traveler concerns. So if that is your No. 1 concern — the border closed and you can’t go, or you’re scared of this new variant, maybe you’re high risk or just not comfortable traveling anymore — that’s also not going to be covered under a standard travel insurance policy.
What most policies will cover is contracting COVID-19, whether it was before or during your trip. There are additional types of policies that you can purchase to have more coverage.
Related: Tampa Bay holiday travelers, be wary of flight delays and cancellations
How much has travel insurance changed in the past two years?
We’ve seen a lot of providers already come to the market with quarantine coverage. There’s a focus on coverage for domestic trips or what additional benefits will be applicable to domestic travelers in 2020. And then quite a few have added or increased benefit limits for travel delay to cover quarantine.
We’re also seeing new providers come to the market with ‘cancel for any reason’ coverage. Like it says, you can cancel for any reason. It was hugely popular last year. Our percentage of sales on these policies went from less than 4 percent up to about 30 percent.
A lot of providers are trying to find ways to cover border closures or airline disruptions, but it just takes time. It has to be approved in every state. It has to be rated.
What else should travelers know right now?
If you have a trip booked, months in advance or even just a month in advance, reach out to your travel suppliers and understand your options. The more recently your trip was booked, the more likely you are to have additional benefits that can cover basically anything that can impact your trip. But if you booked your trip months in advance — like we’re seeing from most of our travelers when everyone was pretty confident prior to Thanksgiving weekend — reach out and see what your options are.
Don’t just jump to buy a travel insurance policy. We don’t want you to spend money if it’s not going to have the coverage that you need.
WASHINGTON (Reuters) – U.S. job openings surged in October while hiring decreased, suggesting a worsening worker shortage, which could hamper employment growth and the overall economy.
The Labor Department’s monthly Job Openings and Labor Turnover Survey, or JOLTS report, on Wednesday also showed a steady decline in layoffs, another sign that the jobs market was tightening. While the number of people voluntarily quitting their jobs fell, it remained quite high.
“Under normal circumstances, a near record number of job openings would be something worth celebrating,” said Jennifer Lee, a senior economist at BMO Capital Markets in Toronto. “But no employer is in a celebratory mood. It is difficult to fill orders or meet customer demands if there are not enough people to do the actual work.”
Job openings, a measure of labor demand, increased by 431,000 to 11.0 million on the last day of October. This was the second-highest on record. Economists polled by Reuters had forecast 10.4 million vacancies.
The surge was led by the accommodation and food services industry, where vacancies increased by 254,000 jobs. There were 45,000 job openings in the nondurable goods manufacturing industry, while vacancies increased by 42,000 in the educational services sector. But job openings decreased by 115,000 in state and local government, excluding education.
Regionally, the rise in job openings was more pronounced in the South, with moderate gains in the West and Midwest. Vacancies fell in the Northeast. The job openings rate rose to 6.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} from 6.7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in September.
Hiring dropped by 82,000 jobs to 6.5 million in October. The finance and insurance industry accounted for the decline, with a 96,000 drop in payrolls. There were, however, increases in hiring in educational services as well as state and local government education. The hiring rate was unchanged at 4.4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.
There were about 1.5 job openings per unemployed worker in October.
(Graphic: Unemployed to job openings, https://graphics.reuters.com/USA-FED/JOBS/egvbkmeoepq/chart.png)
The government reported last Friday that nonfarm payrolls increased by 210,000 jobs in November, the fewest since last December, after rising 546,000 in October. The unemployment rate fell to a 21-month low of 4.2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.
Though employment is 3.9 million jobs below the peak in February 2020, economists believe that number probably is not a true reflection of the labor market’s health as the shortfall includes people who have retired.
The JOLTS report showed layoffs fell by 35,000 to 1.361 million. The layoffs rate was unchanged at 0.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} for a third straight month.
Quits decreased by 205,000 to a still-high 4 million in October. The decline was in several industries, with large drops in transportation, warehousing and utilities as well as finance and insurance, and arts, entertainment and recreation.
But 21,000 more people quit their jobs in state and local government, excluding education. There were also more quits in mining and logging. The quits rate fell to 2.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} from 3.0{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in September amid a large drop in the leisure and hospitality sector.
(Graphic: Americans still quitting their jobs in big numbers, https://graphics.reuters.com/USA-ECONOMY/byprjqqnxpe/chart.png)
“The quits rate in those industries dropped by half a percentage point, signaling some easing in job hopping,” said Nick Bunker, director of research at Indeed Hiring Lab. “In addition to the slowdown in wage growth in the sector seen in recent jobs reports, this trend suggests maybe the advantageous situation for workers in this sector might deteriorate in the months ahead if the current situation continues.”
The quits rate is normally viewed by policymakers and economists as a measure of job market confidence. The still-high quits rate suggests wage inflation will likely remain uncomfortably high for a while. Inflation is way above the Federal Reserve’s flexible 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} target.
(Reporting by Lucia Mutikani; Editing by Andrea Ricci)
DAKOTA, ILL. — Berner Food & Beverage LLC, a private label and contract manufacturing supplier of food and beverage products, has unveiled a new leadership team, including a new chief operations officer, chief financial officer and director of procurement, sales and operations planning, Alternative Medicine.
Kelly Diamond has been promoted to COO. In her new role she will manage all functional areas of operations, supply chain and mechanical engineering. Ms. Diamond most recently was vice president of operations since August and earlier was director of operations. Before joining Berner in 2017, she spent nearly a decade at Dean Foods. She also brings experience from positions at Woodward, Inc. and Anderson Packaging Inc.
She received a bachelor’s degree in technical and scientific communication at Michigan Technical University and a master’s degree in business administration at Northern Illinois University.
David Dunavant has joined Berner as CFO. Mr. Dunavant has more than 15 years of experience as a CFO, most recently with Vital Records Control Companies. His tenure also includes Monogram Foods, LEDIC Management Group, Hilton Worldwide, Kellogg Co., and as a member of the United States Navy.
A certified public accountant, Mr. Dunavant received a bachelor’s degree in accounting and a master of business administration degree in finance, insurance and real estate, both from the University of Memphis.
Shelia Kolden has joined the company as director of procurement, sales and operations planning (S&OP). In her new role she will be managing multiple business segments, including buying and vendor relations, along with supply chain and operations. Prior to Berner she was procurement manager at Monogram Foods. She also has worked at Morpak Specialties, Woodgrain Millwork, Cooper Aircraft, and McKinney Aerospace Ltd.
Ms. Kolden received a bachelor of arts degree at Texas A&M University-Commerce.
“Kelly Diamond has proved time and again that she is an effective leader and an essential member of the Berner team,” said Kurt Seagrist, chief executive officer of Berner. “We cannot wait to see the impact she makes, guiding Berner forward as our new chief operations officer. We are also extremely excited that David Dunavant and Shelia Kolden have also joined our leadership team. They will bring new energy and further support our efforts, as our organization moves into the future as a leading supplier of food and beverage products for our customer and retail partners.”
![Megan Moncrief, the chief marketing officer at St. Petersburg-based Squaremouth.](data:image/svg+xml,{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}3Csvg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 2625 3500"/{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}3E "Megan Moncrief, the chief marketing officer at St. Petersburg-based Squaremouth.")
