> BUREAU OF LABOR STATISTICS, DAILY REPORT, OCTOBER 22, 2001:
>
> A rise in gasoline prices in September pushed consumer prices up by 0.4
> percent, the Bureau of Labor Statistics reports. The consumer price index
> for all urban consumers rose to 178.3 in September, following a 0.1
> percent increase in August. The so-called "core rate," excluding food and
> energy prices, increased 0.2 percent in September. BLS reported that price
> collection for the data was conducted throughout the month of September,
> with two-thirds of the data collected after September 11 (Daily Labor
> Report, page D-1).
>
> A temporary jump in gasoline costs pushed consumer prices higher in
> September, but lower energy costs since then, along with the slumping
> economy, should keep inflation subdued. The Consumer Price Index, a
> closely watched inflation gauge, climbed 0.4 percent last month, after a
> 0.1 percent advance in August, the Labor Department reported today
> (Associated Press, The New York Times, October 20, page C3).
>
> The inflation-adjusted weekly earnings of U.S. workers were unchanged in
> September after small gains in wages and hours worked were offset by a
> larger increase in consumer prices, the Bureau of Labor Statistics
> reports. Workers' average hourly earnings rose 0.2 percent in September
> after rising 0.5 percent in August, while average weekly hours rose 0.3
> percent after a sharp 0.6 percent decline in August (Daily Labor Report,
> page D-14).
>
> A surge in gasoline prices led to accelerated consumer price inflation in
> September, though price increases generally remained tame. The government
> also announced that Social Security recipients will get a 2.6 percent
> cost-of-living increase next year, boosting the monthly check by $22 to
> $874 for the average retiree. The increase is smaller than this year's
> 3.5 percent boost -- the highest in 9 years--because inflation pressures
> have slowed (The Wall Street Journal, page A4).
>
> Consumers should find lower prices at their meat counters the rest of this
> year in the wake of the slowing economy that has created a glut in the
> nation's cattle markets, analysts said. The same public uncertainty that
> has reduced air travel and tourism is also driving down demand for beef at
> hotels, restaurants and resorts. That's having a big impact on cattle
> prices, considering that half of the beef raised in this country is eaten
> outside the home, said James Mintert, Kansas State University extension
> economist (Roxana Hegeman, Associated Press.
> http://www.usatoday.com/aponline/2001102202/2001102202582000.htm).
>
> Labor Secretary Elaine L. Chao has named Lois Orr of the Bureau of Labor
> Statistics as acting BLS commissioner following the departure of Katharine
> Abraham from the post. DOL spokesman Sue Hensley says that the Bush
> administration "is still examining potential qualified candidates" for the
> top post at BLS. "The nomination is high on our priority list," she said.
> Abraham left the agency October 12, after 8 years as commissioner. Orr
> has served as deputy BLS commissioner for the last 3 years. Before coming
> to the agency's Washington, D.C. headquarters nearly 5 years ago, she
> served as regional BLS commissioner in Chicago (Daily Labor Report, page
> A-10).
>
> A key gauge of future U.S. economist activity declined 0.5 percent last
> month, as the September 11 terrorist attacks in New York and Washington,
> D.C. weakened an already troubled economy. The New York-based Conference
> Board said today its Index of Leading Economic Indicators fell to 109.2 in
> September, following a revised 0.1 drop in August. The decrease in the
> September index is the largest one-month decline since January 1996, the
> board said. "The 2-month decline in the index suggests that the already
> weak economy is likely to remain weak until next year," said Conference
> board economist Ken Goldstein. He said the slide in the index reflects a
> significant slowdown in the manufacturing and service sectors (Lisi de
> Bourbon, Associated Press
> http://www.chicagotribune.com/business/sns-economy.story?coll=chi%2Dbusine
> ss%2Dhed).
>
> The nation's intelligence agencies have experienced a surge in job seekers
> since the terrorist attacks on September 11, a boom born of lofty
> patriotism and cold economic realities, recruiters say. Resumes are
> pouring in to the Central Intelligence Agency, Defense Intelligence
> Agency, and National Security Agency at a rate 6 times as high as before
> the attacks (The New York Times, page B7).
>
> The September 11 attacks and the war on terrorism combined with a slumping
> economy that has made private sector jobs more scarce, has brought a
> heightened sense of public service. That might spur a generation of
> elites who once shunned government work in favor of high-octane business
> careers to reconsider (The Washington Post, page E1).
>
> Traffic has returned to the malls, airline seats and hotels are beginning
> to fill up again, neighborhood restaurants are bustling and auto sales are
> booming. The stock market has cautiously clawed back to pre September 11
> levels and consumer confidence has regained its footing. But not far
> beneath the surface of the U.S. economy a troubling picture emerges. In
> many industries, the existence of too many companies with too much
> capacity has sparked price wars, cutting deeply into company profits. As
> firms respond by laying off workers, scaling back on travel and bonuses,
> and deferring equipment purchases, the weakness has spread from one
> industry to another. Caution has bred more caution and weakness more
> weakness, creating a self-reinforcing downward spiral. The signs can be
> found almost everywhere (Steven Pearlstein, The Washington Post,
> http://www.washingtonpost.com/wp-dyn/articles/A22801-2001Oct19.html).
>
>
> DUE OUT TOMORROW: Regional and State Employment and Unemployment:
> September 2001
>
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