Financial sector bleeds jobs in '08

New economic data released today reinforced the downward tack of the U.S. economy, as declining jobs, diminishing factory orders and a shrinking service sector painted a bleak picture for the U.S. economy. The U.S. Commerce Department reported today that orders for manufactured goods fell 2.5% in January, widening the gap seen by a 2% drop in December of 2007, the largest decline since August of last year. Another indication of the economy’s negative movement came from the jobs sector, where a 3.9% decline in jobs was reported by the research firm Challenger Gray & Christmas. To date, 147,077 jobs have been cut over the first two months of 2008, the largest area affected being the financial sector, which has cut 22,056 jobs since New Year’s. The service sector index, a benchmark for gauging the health of that sector, increased from 44.6 in January to 49.3 in February, an increase that could not put the index above the required level for growth in the sector; 50. The index is released by the Institute of Supply Management of Tempe, Ariz.