US joblessness at nine year high

US airports have been deserted since the attacks

The attacks on the US on 11 September has helped create the longest dole queues in over nine years, the US Labor Department has reported.

The number of new jobless claims rose by 58,000 to 450,000 for the week ending 22 September, well above analysts' expectations, with 11,000 new claims coming in New York City alone.

Meanwhile, an index measuring the number of jobs being advertised across the US in August fell to its lowest level since February 1983.

The data is expected to reinforce analysts' fears that the US economy is now in recession, and has raised the prospect of a further interest rate cut from the Federal Reserve when it meets on 2 October.

Jobless claims

Increases in unemployment were reported in states around the US and further rises are expected, the Labor Department said.

Since the attacks, the aviation industry alone has laid off over 100,000 workers.

Michigan's auto industry was particularly hard hit after airlines were grounded for a number of days, depriving it of parts deliveries from Canada, the department added.

The data is a further sign that the world's biggest economy is struggling, after the number of unemployed on benefits rose by 68,000 to 3,298,000 for the week that ended on 15 September.

Help wanted

The business group Conference Board also released its Help Wanted Advertising Index which fell to 53 in August from 58 in July, a eight and a half year low, with a further fall expected for September.

"The souring of consumer attitudes in September seems certain to result in a drop in consumer spending - beyond the obvious categories of travel and recreation," said Ken Goldstein, an economist at the Conference Board.

"That drop in economic demand will most likely translate into further layoffs... Under present circumstances, continued deterioration in the labour market is very likely over the next few months."

The Conference Board surveys 51 major newspapers across the country about their patterns of help-wanted ads every month.