Friday, June 24, 2011

Worried about the US Job Market?

Laugh all you will, but I like Jim Cramer.  I know he's a buffoon sometimes, but he's entertaining, and I also think he's actually very talented.  He doesn't get the credit he deserves.  Here's a perfect example.

While everyone is worried about the US initial jobless claims number rising this week, he goes and takes a look at the situation from another angle.  He looks at the results of Paychex, a provider of outsourced payroll services.  He noted that the "cheques per client" metric is up this year, which indicates that employers are continuing hiring rather than laying off people.

I appreciate this kind of out-of-the-box thinking.  You don't necessarily need to look at the widely used economic indicators to find out what's going on.  Sometimes they are not that accurate.  I've come up with my own indicator for retail companies using Google Insights.  I talked about it here.

In any case, take a look at what Cramer's got to say...