Markets

June jobs report, July 6, 2018

June jobs report, July 6, 2018

The United States has now added jobs for 93 straight months, a record streak of hiring.

"Despite ongoing concerns about being on the brink of a trade war, today's jobs report shows the continued strength of the economic recovery in the USA", said Tony Bedikian, head of global markets at Citizens Bank.

The labour force expanded by 75,600 in June, the biggest one-month increase in six years, Statistics Canada reported Friday from Ottawa. "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".

That could boost the annual increase in average hourly earnings to as high as 2.9 percent, the largest gain since June 2009, from 2.7 percent in May. The average hourly earnings of private-sector production and nonsupervisory employees increased by four cents to $22.62.

Strong jobs growth continues at a time when the economy is growing 4%, and inflation is about to break 3%.

The Fed is also gradually raising interest rates, easing off the extraordinary efforts it took to stimulate the economy after the Great Recession and looking instead to ward off future spikes in inflation. There are two tables focusing on compensation in the Employment Situation report, B-3 and B-8. Prices for U.S. Treasuries rose.

The long-in-the-tooth nature of the current boom cycle, generally rising interest rates and foreign trade conflicts are among the reasons investors have been leaving major stock market indices around the world in neutral this year.




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 213K rise in positions beat market expectations for 195k new jobs, though the market was expecting the unemployment rate to stay steady.

The increased participation combined with a lack of accelerating wage growth during June indicates a labor market that still has enough slack remaining to pull in new workers who had been disengaged from the workforce. Many estimates for growth in the second quarter are bouncing above 4 percent.

"Fortunately the economy has a good head of steam going into a period of significant uncertainty in terms of the impact of higher tariffs across a broad range of imports and exports", said Brian Bethune, chief economist at Alpha Economic Foresights in Boston.

Yet the monthly figures landed the same day as President Donald Trump intensified a global trade war with U.S. levies on US$34 billion (RM137.36 billion) of Chinese goods, spurring retaliatory tariffs.

And yet hiring is expected to be strong for June. Manufacturing and professional and business services saw gains, with 36,000 and 50,000 jobs added, respectively.

The job numbers for the month of June indicate USA manufacturing continues to gain momentum.


  • European specifications revealed for Suzuki Jimny Motors

    European specifications revealed for Suzuki Jimny Motors

    At 3,645mm from the front bumper to the spare wheel cover the new Jimny is exactly the same length as before. The engine will be paired to either a five-speed manual or four-speed automatic transmission.
    Daniel Cormier Reacts To Shocking Fall At UFC 226 Press Conference

    Daniel Cormier Reacts To Shocking Fall At UFC 226 Press Conference

    Heavyweight Derrick Lewis visits the UFC Performance Institute to help him make the 265-pound weight limit by Friday. On Thursday, Cormier appeared to trip as he tried to exit the pre-fight press conference, hitting the floor hard.
    Cilic and defending champ Muguruza stunned at Wimbledon

    Cilic and defending champ Muguruza stunned at Wimbledon

    It didn't faze the Belgian as she got onto the board breaking back in the second in her effort to stay in the set by every means. Marin Cilic (3), Croatia, 3-6, 1-6, 6-4, 7-6 (3), 7-5. "I think we both played pretty well and it was a pretty close match".
  • U.S. Working Closely with Thailand to Rescue Children from Cave

    U.S. Working Closely with Thailand to Rescue Children from Cave

    This complex and extremely fraught extraction has rescuers taking as much time as possible to complete the delicate mission ahead. The next phase of the rescue operation to free the eight boys and their 25-year-old soccer coach will begin in 10 to 20 hours.
    US Secretary of State in Pyongyang to seek concrete nuclear commitments

    US Secretary of State in Pyongyang to seek concrete nuclear commitments

    Both men said they needed to "clarify" certain elements of their previous discussions, but provided no detail. On his way home from Singapore, Trump declared that North Korea no longer posed a nuclear threat to the US.
    Thai boys trapped in cave pen emotional letter to their parents

    Thai boys trapped in cave pen emotional letter to their parents

    Two divers from the United Kingdom were the first to make it, on Monday, to the area where the boys and their coach took shelter. In a touching reply, the coach apologized to the boys' parents and thanked them for their support. "We'll be here till we meet".
  • Spotify's subscriber numbers now lag behind Apple Music's in USA  markets

    Spotify's subscriber numbers now lag behind Apple Music's in USA markets

    For years, Spotify has been the number one service for paid subscribers who choose to listen to music that they pick themselves. Despite launching almost four years later, Apple Music's subscriber count has reportedly surpassed that of Spotify .
    Grayson Allen, Trae Young got tangled up in a summer league game

    Grayson Allen, Trae Young got tangled up in a summer league game

    Allen's reputation, first established at Duke, makes it hard to believe he was completely innocent in inciting this act. Baldwin and Allen tied up off the ball and Baldwin struck Allen near the head, leading to his ejection.
    Severe Rain, Flooding Leave 38 Dead, Scores Missing in Japan

    Severe Rain, Flooding Leave 38 Dead, Scores Missing in Japan

    Hiroshima was also hit hard by torrential rain in August 2014, when 77 people were killed as massive landslides destroyed homes. Two people are missing and may have been buried in a landslide Friday morning in Fukuoka Prefecture, local police said.
  • Suspected rhino poachers killed by lions in South Africa

    Suspected rhino poachers killed by lions in South Africa

    They view rhino horn, which is worth more than gold or platinum, as a valuable commodity, like elephant ivory or drugs. All books with the reserve include an option Rhino Levy where the proceeds are donated to a fund fighting poaching.
    Roberto Martinez proud of Belgium World Cup 'heroes'

    Roberto Martinez proud of Belgium World Cup 'heroes'

    The 2018 World Cup may have been the last for several Brazil players, with nine of their 23-man squad in their 30s. But they will now head into a semi-final against France with huge confidence after taking the scalp of Brazil .
    Pompeo seeks clarity in denuclearization talks with NKorea

    Pompeo seeks clarity in denuclearization talks with NKorea

    And he said progress had been made towards agreeing "the modalities" of North Korea's destruction of a missile facility. Secretary of State Mike Pompeo , calling the negotiations " extremely troubling " and warning the deal could collapse.