U.S. jobs growth stronger than expected

U.S. jobs growth stronger than expected

Rather than being an omen of bad things to come, the rise suggests a positive outlook for the USA economy as it coincides with more than 600,000 people entering the labor force. Revised figures for April and May bring the monthly average for this year to 214,000 jobs-up from 182,000 the year before. The economy needs to create roughly 120,000 jobs per month to keep up with growth in the working-age population. This suggests renewed economic optimism among less-skilled or less-educated workers.

Still, Satyam Panday of S&P Global Ratings summarized the view of economists that "Despite simmering trade tensions, hiring in the USA continues to stay strong".

Mike Segar/ReutersA boy rides a decorated bicycle down Main Street during the annual Fourth of July parade in Barnstable Village on Cape Cod, Massachusetts, U.S., July 4, 2018. Trump argues that the duties are necessary to protect domestic industries from what he says is unfair competition from foreign manufacturers.

The unemployment rate rose to 4.0 percent from an 18-year low of 3.8 percent in June as more people entered the labor force in a sign of confidence in the jobs market.

The United States has now added jobs for 93 straight months, a record streak of hiring. "While initial jobless claims rebounded during the payroll month-averaging 224k vs. 214k in May-they remain at very low levels, and continuing claims have continued to decline". The average hourly earnings of private-sector production and nonsupervisory employees increased by four cents to $22.62.

Under Trump, the economy also saw its highest number of job openings - 6.6 million, about the number of unemployed in April - since 2000.

The Fed raised its target range for the benchmark federal funds rate in June for the second time this year, and penciled in two more rate hikes in the second half of the year.

Steady hiring and low unemployment shows the labor market continues to be an area of strength for the economy since the recession ended nine years ago.

Economists had forecast that employers added 195,000 payrolls last month, according to the median estimate compiled by Bloomberg.

Trump to Unveil Court Pick Monday
Republicans also said Kavanaugh enabled the supreme court ruling that saved the Affordable Care Act's individual mandate. They have to use every process, opportunity, they have to stop this until next year, when we have a new Senate.

Nonetheless, an escalating trade war poses a clear threat.

The dollar extended losses against the euro and the yen after the employment report. US stock index futures were little changed. Stocks on Wall Street were trading higher.

Nevertheless, the average monthly increase in US construction employment through the first half of this year has been +25,000, up from +20,000 for January-to-June of 2017. "There were some people who weren't participating in the labor force who are now being encouraged to return, so I'm not concerned about the uptick in unemployment". Moreover, some of the other internals, including a rising unemployment rate for African-Americans, highlighted the challenges to more inclusive growth.

A steady pace of hiring and gradually rising wages, along with lower taxes, are helping underpin consumer spending and propelling a rebound in USA growth this quarter. Manufacturing, construction and other sectors heavily reliant on trade are seen taking a big hit from the tariff wars.

Read the full report at CNS News. "Unequivocally, this is a nightmare situation".

US hiring topped forecasts in June while unemployment rose from an 18-year low and wage gains unexpectedly slowed, indicating the labor market has room to keep expanding.

Staffing in "professional and business services" (+50,000) received boosts from "temporary help services", +9,000; "architectural and engineering services", +7,000; and "computer systems design and related design", +6,000.

Ahead of this morning's new jobs report, most projections pointed to totals of roughly 200,000 new jobs last month.

The latest jobs report, which also contained weaker data points, arrived less than a week before the Bank of Canada's upcoming interest-rate decision next Wednesday.

Related Articles

  • Operation to rescue Thai boys in flooded cave starts

    Operation to rescue Thai boys in flooded cave starts

    Outside the hospital, helicopters could be seen making their way to a nearby airfield, where ambulances were waiting for the boys. An "all-star" team of 18 divers entered the caves this afternoon as the boys and their families were notified of the development.

    Hispanic Unemployment Reaches Record Low, Media Praise Labor Force Rate

    According to a government report on Friday, the US labor market continued to power forward in June, adding another 200,000 jobs. Exports declined mostly because of weaker trade on motor vehicles and parts as well as metal ores and non-metallic minerals.
    Suzuki revamps Jimny with classic look

    Suzuki revamps Jimny with classic look

    The new Jimny sticks with low range gear selector for its 4WD system to the former system to maximise its off-road adjustability. Depending on the gearbox fitted, the Jimny will have a top speed of 90mph with the manual and 87mph with the automatic.
  • Aum executions open door for more debate into death penalty

    Aum executions open door for more debate into death penalty

    Aleph and Hikari no Wa conduct their activities at facilities all across the nation as they continue to recruit young people. It goes without saying that the other six members of Aum Shinrikyo will equally face the same fate in the near future.
    In Canada, seven times increased the number of dead from the heat

    In Canada, seven times increased the number of dead from the heat

    Temperatures soared to 93 Fahrenheit with a humidity that made it feel much hotter than that, the meteorological service said. About it reports the Montreal Gazette, citing data from the press service of the Minister of health of the province.
    F1: Mercedes British GP practice Verstappen brought to a halt

    F1: Mercedes British GP practice Verstappen brought to a halt

    Sirotkin managed to limp out of the gravel, but could manage only the slowest time with both Williams cars to start at the back. Canadian Lance Stroll lost control on his very first flying lap, spinning at Brooklands, and ending up beached in the gravel.
  • Mitch McConnell Warns Of Fights 2 Potential Trump Court Picks Might Face

    Mitch McConnell Warns Of Fights 2 Potential Trump Court Picks Might Face

    Trump is scheduled to announce his Supreme Court nominee in a televised address from the White House on Monday at 9 p.m. The pages of legal rulings and other documents authored by Kavanaugh "is said to run into the millions, which Mr.
    Insider attack kills US  service member in Afghanistan

    Insider attack kills US service member in Afghanistan

    O'Donnell told RFE/RL that the last insider attack in Afghanistan occurred in August 2017, leaving a Romanian soldier injured. Conde, 22, was shot by enemy fighters in a firefight in Kapisa province while providing security for U.S.
    North Korea calls denuclearisation talks with United States  'regrettable'

    North Korea calls denuclearisation talks with United States 'regrettable'

    Pompeo did not meet Kim as he had done on two previous visits to North Korea this year but handed over a letter to him from Trump. "These are complicated issues but we made progress on nearly all the central issues", the Secretary of State said .
  • Nintendo Switch Skyrim Mod Support Not Planned: Bethesda

    Nintendo Switch Skyrim Mod Support Not Planned: Bethesda

    The Creation Club launched for Fallout 4 in September 2017 and Skyrim a couple months later. And besides! If it all goes to hell, I'm sure we'll get a standard sequel next time around.
    MA  businesses fearing impact of U.S.-China trade war

    MA businesses fearing impact of U.S.-China trade war

    In other words, the USA and China are likely to impose penal tariffs on their entire imports from each other. Liquor maker Brown-Forman Corp, whose products include Jack Daniels, is off 15 percent since late May.
    #WC2018: Croatia beat Russian Federation  on penalties to set up semi against England

    #WC2018: Croatia beat Russian Federation on penalties to set up semi against England

    We've built that and to get through the two games we've had this week needed all of that because we're not the finished article.