U.S. jobs, price data point to economic recovery

New datareleased Thursday hinted at an improving U.S. economy asjobless claims fellandproducer prices rose in the most recent reports.

Thenumber of U.S. workersaskingfor employment benefits for the first time slidby24,000for the week endedApril 17.

On a seasonally adjusted basis, 456,000 Americans sought first-time EI assistance in that week. Duringthe previous four-week period, the average number of initialbenefits claimants stood at 460,000.

The one-week drop was the first seven-day periodin the past three in which the initial jobless claims figure which economists use as a proxy for overall economic health fell.

The latest U.S. reduction also was the best showing for theDepartment of Labor's well-watched indicator since the end of January when initial claimants tumbled more than 50,000.

In addition,American companies received a bit of good economic news in the form of March'sproducer price index (PPI).

The index for the prices of finished goods, which uses 1982 as itsbase, rose 0.7 per cent in March compared to February.

Better still, the same index gained six per centin the third month of 2010 versusthe previousMarch.

The rise represented "... their largest year-over-year gain since an 8.8 per cent rise in September 2008," according to the department in a news release.

Generally, rising prices, especially for goods heading outthe factory gate, indicates improving demand among final consumers and often indicatesa strengthening of the private sector's overall revenue picture.