Sep. 18--Florida's unemployment rate moderated slightly in August, dropping to 10.7 percent from an adjusted 10.8 percent a month ago.

In the Tampa Bay area, unemployment stood at 11.3 percent compared to an adjusted 11.4 percent in July.

The statistics translate to nearly 1 million Floridians out of work, with the July rate the highest in 34 years, according to the Florida Agency for Workforce Innovation (AWI), which runs the state's unemployment program and released its update this morning.

Throughout the recession, Florida has been running far ahead of the national unemployment rate, which stood at 9.7 percent for August.

But AWI Director Cynthia Lorenzo said she was encouraged by the "relative stability" of Florida's unemployment rate the past few months. "We anticipate improvement in Florida's job market in the second quarter of next year and are already seeing glimmers of hope to that effect," she said.

In July, the Florida Economic Estimating Conference revised its forecasts, predicting Florida's unemployment rate will peak at 11.0 percent in the second quarter of 2010 and then gradually decline.

Among Tampa Bay area counties: Hillsborough's rate for August was at 11.1 percent, down from 11.2 percent; Pinellas was at 10.9 percent, down from 11.1 percent; Pasco was at 12.1 percent, down from 12.3 percent; Hernando was at 13.3 percent, down from 13.4 percent and Citrus was at 11.9 percent, down from 12.0 percent.

Hendry County continued to suffer the highest unemployment rate in the state -- 16.4 percent -- with Liberty County's 5.6 percent at the opposite end of the spectrum.

Federal Reserve Chairman Ben Bernanke this week stimulated markets by saying the longest recession since World War II is likely over. Encouraged by a growth in industrial production and improved home sales, many economists predict the economy should grow by a healthy 3 to 4 percent in the third quarter.

But there are concerns that the recovery will be very sluggish because of high unemployment, stagnant consumer spending and tightened credit markets. Some fear that we may see a double-dip recession after a short-term boost from the federal stimulus program.

Jeff Harrington can be reached at jharrington@sptimes.com or (727) 893-8242.

Check back here for updates throughout the day.

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