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The Associated Press

The Tampa Tribune

Published: November 27, 2008

Four grim economic reports released by the government Wednesday added up to a bleak overall picture of the slowing economy.

Job Claims Still Recessionary

Requests for unemployment benefits fell last week from a 16-year high, the government said. But they remain at recessionary levels, and economists expect increases to resume.

The Labor Department reported that jobless claims fell last week to a seasonally adjusted 529,000 from the previous week's upwardly revised figure of 543,000. That is lower than analysts' expectations of 537,000.

Consumer Spending Plunges

The Commerce Department reported Wednesday that consumer spending plunged by 1 percent in October, worse than the expected 0.9 percent decline. Consumer spending accounts for two-thirds of total economic activity.

Factory Orders Down 6.2 %

Orders to U.S. factories for big-ticket manufactured goods also plunged last month, by the largest amount in two years. Orders for durable goods dropped 6.2 percent, more than double the decline economists expected. The Commerce Department report showed widespread declines throughout manufacturing led by decreases in autos and airplanes.

New Home Sales Down 5.3%

New home sales fell by 5.3 percent last month to the lowest level in almost 18 years, the Commerce Department said. Sales dropped to a seasonally adjusted annual pace of 433,000, the lowest since January 1991. The median price of a new home sold in October fell to $218,000, down 7 percent from a year ago. It was the lowest median sales price since September 2004.

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