Help-wanted ads hit a 41-year low on Thursday. The market should be down, right? Well, it isn’t. Matter of fact, the Dow and the Nasdaq were up smartly this week. Is the financial market oblivious to the worst employment market in a half-century?
Hardly. While the employment market is no picnic, the help-wanted ads measure is almost entirely defunct. As we all know, an increasing number of advertisements have moved entirely online, whether on company websites, or on sites like Monster or Yahoo.
But the decline in help-wanted ads is an indicator of something lousy alright: the newspaper classifieds industry. With help-wanted ads having historically made up more than a third of newspaper firms’ revenues, look out below.