You’re hired! Unemployment rate falls to 3.9% in July

05 August, 2018, 22:39 | Author: Natasha Holloway
  • Enlarge this image

US establishments added a net new 157,000 jobs, following the upwardly revised average gains in May and June of an outsized 258,000. The Fed is unlikely to accelerate its rate hike plan if wages growth remains stagnant. Typically, when unemployment has fallen below 4 per cent in the past, wages have increased at a faster pace. "As is, the economy is not strongly correlated with midterm outcomes".

Employers pulled back on hiring in July, but the job gains were still enough to lower the US unemployment rate a tick to 3.9 percent from 4 percent.

One important factor driving economists' forecast for a strong jobs month overall was the low number of people filing for unemployment benefits for the first time.

Wages remain the only red flag in the USA labor market. After being at a record low a few months ago, black unemployment rose to 6.6 percent.

Manufacturing added 37,000 jobs in July, with most of the gain in the durable goods component. But sporting goods, hobby, toy and game stores fell 32,000 - reflecting the closure in late June of all remaining U.S. stores in the Toys R Us chain.

The U.S. unemployment rate dropped slightly in July, while job gains were lower than many analysts predicted.

"That is pathetic", economist Joel Naroff wrote in a client note.

Swedish crown jewels stolen by thieves in speedboats
Sweden is one of 10 European nations that still have reigning royal families. King Karl IX died in 1611 and his wife Queen Kristina died in 1625.

The numbers there looked good in July, with a major caveat. "That does not bode well for future spending". With revisions, job gains have averaged 224,000 a month over the past three months.

"The more you make an employee healthy and happy, the more that they're going to stay with you", England said.

Job gains were less than expected in July, though earlier months' job gains were revised higher and the unemployment rate fell to 3.9%.

The pace of hiring workers in the United States slipped to its slowest in four months in July, but interest rates remain on track to rise twice more this year because of the underlying strength of the jobs market.

The decline in the jobless rate reflected a 284,000 decline in the number of unemployed people in the workforce, while the number of employed increased by 389,000.

Despite many businesses' trouble finding qualified workers, they are still hiring and looking outside traditional pools for talent.

Diane Swonk, chief economist at Grant Thornton, said that amid disappointing growth in wages, President Donald Trump's trade wars threatened to eat even further into workers' pay by pushing up inflation. Construction companies hired 19,000 more workers after increasing payrolls by 13,000 jobs in June.

Recommended:



Popular

China rejects United States demand to reduce Iran oil imports
The US administration has vowed to impose sanctions on any company continuing to buy oil from Iran after the November 4 deadline. The Iranian rial has fallen to 99,000 to the USA dollar despite a government-imposed rate of 44,000.

Motorola announces the first phone that’s upgradeable to 5G, the Moto Z3
The 5G mod will provide fantastic data speeds, but isn't out until 2019, and even then will only be available in four USA cities. However, the company also unveiled an interesting modular attachment that will usher in the era of 5G, called the 5G Moto Mod .

Concerns Of Dam Failure Prompt Evacuations In Lynchburg, Va.
Rain has saturated parts of the East for days, with flash-flood watches in effect for millions from Georgia to Vermont. If you are in low lying areas below the College Lake Dam, you should move to higher ground immediately .

Liverpool confirm Alisson’s provisional squad number after Karius gesture
It's clear that both players are waiting for other numbers to be made available before they have their official numbers confirmed. Likewise, Trent Alexander-Arnold, who Klopp has allowed to return to training a week earlier than expected.

Newshour, US hits Turkey with sanctions over jailed pastor
He says Turkey is now "on notice ". "I hope they'll see this for what it is: a demonstration that we're very serious", he said . The case has been followed closely by America's evangelical Christian community, a key part of President Trump's support base.

Galaxy Note 9's redesigned rear officially confirmed by Samsung
The bottom edge of the Galaxy Note 9 features a compartment for S Pen , an external speaker, USB-C port and a 3.5mm audio jack. The one design change is a reworked fingerprint reader placement, which was panned a year ago for being too hard to reach.

How Google reversed its course on opposition to censorship in China
China has also seen increased affluence among its consumers, which are quick to embrace innovative new technologies and services. It's unclear if the apps now in development would do the same, as Google refused to comment "on speculation about future plans".

Trump administration to freeze fuel efficiency requirements
The EPA and NHTSA are giving the public 60 days to provide feedback to the new proposal . Proposed fuel economy rules won't be as strict as those set out in 2012 .

Screenshots: Did Urban lie about knowledge of coach's abuse?
Separately, a court hearing for Zach Smith was postponed Thursday on a domestic protection order sought by his ex-wife. Ryan Day, who has been the team's offensive coordinator, will be acting head football coach while Meyer is on leave.

Trump Says He Would 'Certainly Meet' with Iran's Rouhani
The United States is going after Iran in a rather smart fashion despite the childish rhetoric being traded on social media. Iran's interior minister said Tehran did not trust Washington as a negotiating partner.