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Good News in the July Jobs Report

Good News in the July Jobs Report

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no1marauder
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Contrary to the myth-making at the RNC, the US economy is doing pretty good:

The U.S. job market's performance should help dispel some of those concerns. Nonfarm employers added an estimated 255,000 jobs in July, well above consensus expectations of about 180,000. Together with upward revisions of 18,000 jobs to prior months' estimates and June’s strong initial reading, this makes the shockingly low May reading (initially 38,000, ultimately revised to 24,000) look like even more of an anomaly.

The three-month average job gain is now running at about 190,000, suggesting that payroll growth can easily continue in the range of 120,000 to 150,000 in the months ahead -- ample to compensate for natural growth in the labor force and also bring more people back into the labor force.

The unemployment rate remained unchanged at 4.9 percent, but for a good reason: More people were actively seeking work, a prerequisite for being counted as part of the labor force. The labor-force participation rate edged higher to 62.8 percent -- a sign that people are still willing to come off the sidelines and look for work. This indication of slack in the labor market should relieve some of the pressure on the Federal Reserve to move aggressively on interest rates.

Adding to the robust job creation, the average hourly wage increased by 0.3 percent in July, a bit faster than expected. Together with a slight extension of the average work week, this puts more money in the pockets of U.S. households. This bodes well for consumer spending, which still comprises the most important component of the economy, suggesting that the U.S. is in relatively good shape to resist the growth slowdown afflicting other countries.

http://www.bloomberg.com/view/articles/2016-08-05/jobs-report-brings-much-needed-good-news

More people working at higher pay and longer hours doesn't sound too bad. Though I agree with the article that various government policies could accomplish more:

To be sure, the job market's performance is not enough to drive the economic takeoff required to meet genuine aspirations, counter alarming inequality and avoid a decline in the country's longer-term growth potential. That will require a greater contribution from the private sector, which in turn needs the government to implement policies -- such as pro-growth infrastructure investment and tax reform, a more expansionary fiscal policy overall, more effective labor retooling and a lot better regional and global policy coordination -- to make such a contribution possible. As is now widely -- and finally -- recognized, this goes far beyond what central banks can deliver on their own.


It's doubtful we'll get that with a Republican Congress but maybe November 8th will bring good news on that front.

mchill
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Originally posted by no1marauder
Contrary to the myth-making at the RNC, the US economy is doing pretty good:

The U.S. job market's performance should help dispel some of those concerns. Nonfarm employers added an estimated 255,000 jobs in July, well above consensus expectations of about 180,000. Together with upward revisions of 18,000 jobs to prior months' estimates and June’s stro ...[text shortened]... l get that with a Republican Congress but maybe November 8th will bring good news on that front.
Not a bad report. Now if working class wages will keep up with the cost of living, that would be even better. It amazes me that so many full time employees qualify for welfare because their wages are so low, many low ranking active duty military people with children also qualify. I guess we should be careful who we call "freeloaders"

k

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If you call part time work at Taco Bell and Micky D's good. We're doing great.

no1marauder
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Originally posted by kquinn909
If you call part time work at Taco Bell and Micky D's good. We're doing great.
Employment in food and and drinking establishments accounted for about 8% of the new jobs those in professional and business services, health care and financial activities added up to more than half the total.http://www.bls.gov/news.release/pdf/empsit.pdf

E

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Funny how these numbers get quietly lowered a month or two later. True believers never seem to notice and gobble up the propaganda.

k

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You actually believe the govt. propaganda? I have a bridge for sale if you're interested. Fool.

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