I have several friends in recruitment, and there are jobs out there but they aren't as plentiful as they were a couple of years back. One of the main things to remember is that these guys work on a bonus to go hand in hand with their rubbish basic salary. So if there's a job out there that suits you and you have a few months/years experience and a competitor who has much better appeal than you they will go for the latter as they will get more money from that person.
Clients do seem to be pulling positions though. One of my freinds was set to earn a small fortune this Christmas from one company and at the last minute they pulled it on account of 'lack of business' . You're not the only ones being mucked about.
What industry are you in?