The economy shrank in the first half of this year, the government confirmed in a report Thursday, underscoring fears of a broad-based slowdown that could lead to a recession.
At the same time, the number of people seeking unemployment benefits — a figure that often reflects the pace of layoffs — fell to a five-month low. The drop suggests that companies are holding onto their staffs, despite the slowdown in growth, and that those who do get laid off are quickly finding new jobs.
