Labor market brightens, consumers step up spending

The number of Americans filing new claims for jobless benefits fell sharply last week to a near four-year low and retail sales rebounded in November, hopeful signs for the struggling economic recovery. Initial claims for state unemployment aid fell for a fourth straight week, dropping 29,000 to a seasonally adjusted 343,000, the Labor Department said on Thursday. They are now at their lowest level since early October, and within a hair of territory last seen in early 2008. Another report suggested consumer spending picked up last month despite fears Washington will fail to avoid harsh austerity measures that could trigger [...]