U.S. adds 209000 jobs in July


U.S. adds 209000 jobs in July

U.S. economy added 209,000 jobs in July and the unemployment fell to the 4.3 percent mark and matched a 16-year low first reached this past May, the U.S. Department of Labor reported.

The largest number of jobs gains were in the category of "food services and drinking places", which added 53,000 jobs in July.

The labor force participation rate, at 62.9 percent, was little changed.

Statistics Canada says the province's unemployment rate last month was 6.6 per cent, up from 6.5 per cent in June.

The ADP Employment Report showed a modest drop from 191,000 jobs in June to 178,000 in July. May's gain was reduced to 145,000 from 152,000.

As set against expectations, it's a good report.

USA auto sales fell 6.1 percent in July from a year ago to a seasonally adjusted rate of 16.73 million units.

In May, the government added 37,000 jobs, though it was unusually strong for the year. Moreover, the month's gains pushed total US manufacturing employment to more than 12.4 million, its highest level since January 2009. "The recovery is now strong and long enough to lift numerous people hurt most by the recession-except in manufacturing, which continues to lag overall jobs growth".

Canada's labour market continued its stellar performance in July, with the jobless rate falling to the lowest since before the financial crisis. Recall too that few seemed satisfied with the results in 2016, too.

Another continual worry spot is wage growth, which remains sluggish.

The Ontario unemployment rate fell three notches to 6.1%.

Why are wages stagnating at this level of unemployment?

The bulk of the gains over the past year have been full -time, with 353,500 jobs.

The remaining 1.1 million people marginally attached to the labor force in July had not searched for work in the past month for reasons such as school attendance or family responsibilities, according to the BLS.

The Trump administration's consistently positive jobs reports may only go so far, as the mainstream media has had plenty to report on in regards to palace intrigue within the White House, staff turnover, and, last but not least, Russia. We'd rather have 200K growth than 100K growth, of course, so it's better than we've seen in May and March of this year.

Manufacturing employment increased by 13,700 on the month to give a 3.1% annual increase while construction jobs declined on the month.



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