U.S. Unemployment Rate (%)

U.S. unemployment rate is unchanged at 8.3%. Employers in the U.S. boosted payrolls more than forecast in February, capping the best six month streak of job growth since 2006. Some 1.2 million jobs were created in the last six months, the most since the same period ended May 2006.

I’ve been updating the unemployment chart since August 2011 with the 1 & 2 year moving averages and back in 2011 I’ve concluded that in the worst case  unemployment rate can continue lower for another year until 2012.

http://techcharts.wordpress.com/2011/08/10/u-s-unemployment-rate/

In the past, after the long-term moving average crossovers, the shortest trend last for a year and the longest trend for 8 years. Since the crossover in February 2011 it has been one year and unemployment rate dropped from 8.9% to 8.3%. It has been a slow recovery but in the positive direction. It is now extremely important for this trend to continue in the following months. A rise in unemployment rate from these levels could have long-term negative effects for the economy. As a result in the next few months we should keep a close eye on the unemployment rate.