U.S.headline unemployment falls to 8.9 %; U.6 to 15.9 %.

There was more good news on the U.S.unemployment front. The headline rate of unemployment fell albeit modestly from its previous 9.0 % to 8.9 %. The broader definition of those unemployed, marginally attached to the workforce, working part-time when they would rather be working full time and discouraged workers fell from 16.1 5 to 15.9 %. Had state and local governments not cut as many as 30,000 workers last month the unemployment rate would have been even lower.So the news is positive but progress is still painfully slow. With luck confidence should grow over the coming months and unemployment steadily drop. The only potential spanner in the works is skyrocketing gasoline prices driven by the surge in demand and the instability in the middle east. Nevertheless, I remain cautiously optimistic about the immediate future.
 Driving home from work last night I noticed that local Montreal gasoline prices had hit $1.33 a litre that's over 5$ a U.S. gallon. Not a good portent for the economy although the Alberta oil patch will be pleased.