Thursday, 18 October, 2018

US Unemployment Drops Slightly; Job Growth Slows

US jobs growth slows more than expected in July American job growth falls short of expectations in July
Jodi Jackson | 05 August, 2018, 22:44

Economists forecast that employers added 191,000 jobs in July, down from 213,000 in June but easily enough to lower the unemployment rate over time.

The economy added 157,000 jobs last month as the nation's unemployment rate dropped to a near-record low of 3.9 percent.

A jobless rate of under 4 percent usually prompts employers to raise wages to attract and keep good workers; but, the newest figures show wages grew just 2.7 percent over the past year, which is slightly lower than the inflation rate, meaning that real wages are actually falling slightly.

Unemployment has fallen this year to its lowest level since 2000, and many economists predict unemployment will fall even further this year. There are about 6.6 million unfilled jobs in the country. The White House has slapped tariffs on steel and aluminium and on $34 billion of imports from China, and several companies have hit US imports with retaliatory duties.

The slowdown in hiring last month likely is not the result of trade tensions, which have escalated in recent days, but rather because of a shortage of workers.

Employment by nondepository mortgage companies in June increased for the third consecutive month as seasonal hiring continued even though home resales inched down another notch.

One cloud on the horizon has been the Trump administration's trade fights with China, the European Union, Canada and Mexico.

One thing that hasn't impressed much is wage growth. The only time in the recorded history the rate was lower was in the 1960s.

Average hourly earnings increased seven cents, or 0.3%, in July after gaining 0.1% in June. Consumer prices rose 2.9 percent in June from a year earlier, more than the average wage gain.

The report missed most analysts' expectations.

People looking for jobs at factories had a better chance of being hired last month.

Professional/business services gained 51,000 jobs, with temporary help services adding 28,000 jobs and computer systems design 8,000 jobs, according to the BLS. "America is working, the July employment numbers confirm that those who have been left behind over the past two decades are beginning to find their places in their search for the American dream". Faucher writes that as that happens, job growth will slow down because businesses will find it more hard to recruit new hires. The views expressed in this column are the author's own and do not reflect those of Berenberg Capital Markets, LLC.

Recommended

  • LeBron James' college scholarship program through school could cost $100 million

    LeBron James' college scholarship program through school could cost $100 million

    Basketball great LeBron James on Tuesday accused President Donald Trump of intensifying racial divisions in the United States. LeBron James stood on a stage near one of the streets he walked as a troubled kid and looked out at thousands of faces.
    Ohio's back to school tax-free weekend approaches

    Ohio's back to school tax-free weekend approaches

    During that time, customers can avoid paying the 6% state sales tax, as well as local tax when buying qualified clothing items. Mississippi's was last weekend, while Arkansas' is schedule Saturday and Sunday and Texas' is scheduled August 10-12.
    Thomas Markle says Meghan and the royal family 'cut me off completely'

    Thomas Markle says Meghan and the royal family 'cut me off completely'

    But if I send a birthday card to Kensington Palace, or wherever she's living now, it'll just be one among thousands. Hi daughter Samantha meanwhile told The Mirror that she is "desperate" for Meghan to mend her father's broken heart.
  • Trump receives new letter from Kim

    Trump receives new letter from Kim

    Army soldiers who fought in the November, 1950 Battle of Chosin Reservoir - 1,024 Americans are still missing from that battle. Byrd said the process to fully identify the remains, now more than 60 years old, could take anywhere from days to decades.
    Apple becomes first-ever company valued at $1 trillion

    Apple becomes first-ever company valued at $1 trillion

    The company's fortunes were turbocharged by the launch of personal gadgets such as the iPod in 2001 and the iPhone in 2007. While year-over-year iPhone sales increased by just 1% this past quarter, iPhone-based revenue jumped by a whopping 20%.
    Demi Lovato's backup dancer asks for end to 'negative' speculation

    Demi Lovato's backup dancer asks for end to 'negative' speculation

    Then Radar Online reported that Demi and co. were partying hard for her backup dancer/BFF Dani Vitale's birthday. Last Thursday, fire officials released redacted audio of a 911 call that led to Lovato's hospitalisation.
  • 20 killed in World War II plane crash in Switzerland

    20 killed in World War II plane crash in Switzerland

    On its website, JU-Air mentions one past accident, in 1987, at the Koblenz airport in Germany in which no one was hurt. The aircraft was travelling between Ticino in the south of the country and Dübendorf military airfield near Zurich .
    EPA unveils plan to lower Obama-era federal fuel standards

    EPA unveils plan to lower Obama-era federal fuel standards

    The firm projects the policy would cost the US economy $457 billion and cause 13,000 deaths by 2050, as air quality suffers. The logic is that because new-car prices will be lower, "more consumers will be able to afford newer and safer vehicles".
    Collusion not a crime? Not exactly the point

    Collusion not a crime? Not exactly the point

    Then-Trump campaign chairman Paul Manafort and Trump's son-in-law, Jared Kushner, also participated in that meeting. Speaking to CNN's "New Day" on Monday, Giuliani said he wasn't sure if collusion was a crime .
  • Galaxy Note 9 Launch Next Week but Details Were Just Accidentally Posted

    Galaxy Note 9 Launch Next Week but Details Were Just Accidentally Posted

    The 30-second promo, which we have embedded above, provides a few shots of the Galaxy Note 9 and its accompanying S Pen. In terms of specifications, Samsung Galaxy Note 9 is expected to feature a 6.3-inch QHD+ Super AMOLED display .
    Martial not a Bayern Munich target, Rummenigge confirms

    Martial not a Bayern Munich target, Rummenigge confirms

    Mourinho was expecting the 22-year-old to rejoin the squad in the U.S. when he gave him permission to leave last week. Mourinho is a players' man, but not everyone wants to play for him and his United side can hardly be called thrilling.
    Chelsea receive good news as superstar extends contract

    Chelsea receive good news as superstar extends contract

    Hudson-Odoi's velcro close control, dribbling and all-around technical ability have impressed Chelsea supporters to no end. Courtois won the La Liga title, the Copa del Rey and the Super Cup during his stint at Atletico under Diego Simeone.

Crude Price Suffers Over US-China Trade War Crude Price Suffers Over US-China Trade War Some sanctions will take effect from August 6 while others, notably on the petroleum sector, will take effect on Nov 4. In May, Trump controversially pulled America out of the nuclear deal Obama agreed with Iran in 2015.

Weld County man hospitalized with West Nile Virus Weld County man hospitalized with West Nile Virus Do not apply under clothing, to wounds or irritated skin, the hands of children, or to infants less than two months old. One hundred thirty four human cases of WNV, including three fatalities, have been diagnosed in CT residents since 2000.

Trump could raise tariffs further on Chinese goods Trump could raise tariffs further on Chinese goods At a news briefing , Foreign Ministry spokesman Geng Shuang accused the usa of engaging in "blackmail", according to Reuters . A Chinese foreign ministry spokesman had earlier called on Washington to "come to its senses" and settle the dispute.

Lynchburg flood: College Lake Dam failure - emergency evacuations Lynchburg flood: College Lake Dam failure - emergency evacuations Authorities said concerns about the dam's failure will continue to be a threat until the water levels can safely be lowered. The service says a failure of dam could flood parts of Lynchburg with 17 feet (5 metres) of water in just seven minutes.

Don Lemon Responds to Trump’s Insulting Tweet About His LeBron James Interview Don Lemon Responds to Trump’s Insulting Tweet About His LeBron James Interview He added the hashtag #BeBest , a reference to an initiative by the first lady, Melania Trump, that aims to help children. That campaign appearance probably turned the tide, as Trump didn't always feel so strongly against James.

Liverpool Get Off To Quickfire Start Against Napoli At The Aviva Liverpool Get Off To Quickfire Start Against Napoli At The Aviva Liverpool's Naby Keita also gets a start in the side alongside James Milner - both Fabinho and Shaqiri are part of the extensive substitutes tonight.

Google Workers Split Over Censor-Friendly Chinese Search and News Plan Google Workers Split Over Censor-Friendly Chinese Search and News Plan This has very serious implications not just for China, but for all of us, for freedom of information and internet freedom. The work followed a meeting between Google Chief Executive Officer Sundar Pichai and a top Chinese government official.

Brilliant Kohli rides luck to save India Brilliant Kohli rides luck to save India It was nearly an easy-going partnership for the opening duo as they brought up 50 off just 70 balls before the drama began. Stokes, introduced after lunch, showed why he is such an important part of this England side with an aggressive spell.

NASA to announce next generation space flight crew NASA to announce next generation space flight crew The chamber allowed SpaceX and NASA to verify Crew Dragon's ability to withstand the extreme temperatures and vacuum of space. Bush directed in 2004 that the space shuttle program end as soon as construction of ISS was completed, then expected in 2010.

#InMyFeelingsChallenge: Drake's 'Kiki challenge' is breaking bones #InMyFeelingsChallenge: Drake's 'Kiki challenge' is breaking bones In hundreds of such videos that have surfaced on the internet, people are seen crashing into poles and tripping on potholes. A Florida man's attempt at the " In My Feelings " challenge went wrong when he was hit by a auto during the stunt.

YouTube Dark Mode Now Available On Android YouTube Dark Mode Now Available On Android The " Dark Mode ", which converts Youtube's content to a dark background on white text is finally arriving on Android platform. But while iOS users got to take advantage of the new option relatively fast, those on Android were left waiting.

Republican donors the Koch brothers 'a total joke' Republican donors the Koch brothers 'a total joke' Officials said the meeting this weekend is the largest summer gathering of like-minded donors, with 135 first-time participants. Cramer, a Trump backer, has told allies he remains confident about his chances and will continue to support the president.

Riots shake Zimbabwe capital Harare as election results delayed Riots shake Zimbabwe capital Harare as election results delayed As Zimbabwe awaits the final result of the presidential election, both the MCD Alliance and ZANU-PF are confident of success. Mr Mnangagwa called for calm in a post on Twitter while results were collected.

USA sanctions two Turkish officials over detention of American pastor USA  sanctions two Turkish officials over detention of American pastor Brunson was held for almost two years in prison on terror-related charges before he was moved last week to house arrest. Justice Minister Gul said Wednesday he does not own any property or have money outside Turkey.

Thieves Steal Swedish Crown Jewels Before Fleeing By Speedboat Thieves Steal Swedish Crown Jewels Before Fleeing By Speedboat Strangnas cathedral has been closed so that "technical examinations" can be carried out, a police statement added. Among the jewels stolen are two royal crowns of King Karl IX and Queen Kristina , as well as a royal orb.