Thursday, 18 October, 2018

Unemployment Rate Drops to 3.7%

Everything You Need to Know About the September Jobs Report U.S. Unemployment Rate Drops To 3.7 Percent, Lowest In Nearly 50 Years
Kenneth Drake | 08 October, 2018, 06:58

These are the pocketbook issues that actually make a difference in the lives of voters. Over the last three months, job gains have averaged 190,000 per month. Retail payrolls dropped by 20,000 jobs in September.

"The momentum in the labor market remains strong and we expect the unemployment rate to continue to decline", said John Ryding, chief economist at RDQ Economics in NY. For close to two-thirds of the U.S. population, this is the lowest unemployment rate in their lifetime.

Powell said more wage growth is "quite welcome" and the Fed isn't anxious yet about higher pay causing inflation.

The drop of two-tenths of a per centage point in the unemployment rate from 3.9 per cent in August pushed it to levels last seen in December 1969 and matched the Fed's forecast of 3.7 per cent by the end of this year.

Following Friday's release Michael Pearce, senior USA economist at Capital Economics, said the report is likely to affirm the Fed's plans to continue raising interest rates gradually, adding that wage is now on track to climb above 3% by the end of 2018.

The economy does show some weak spots. The decline in employment in the industry of leisure and hospitality can be attributed partially to the effects of Hurricane Florence.

Teenagers, less-educated workers and disabled Americans have also made progress in recent months and anecdotal reports suggest that companies were becoming more willing to hire people with criminal records or to waive drug-testing requirements.

This week, Amazon announced that it will raise the minimum wage for all US workers to $15 per hour, starting in November.


The average workweek for all private employees was unchanged at 34.5 hours.

"Businesses of all sizes are indicating they are doing whatever they can to keep their workers", said Joel Naroff, chief economist at Naroff Economic Advisors in Holland, Pennsylvania. However, the so-called real unemployment rate, which factors in discouraged workers who take part-time jobs for economic reasons, climbed to 7.5 percent. "The standard measures just don't reflect those increases well, if at all".

Manufacturers expanded their payrolls by 18,000. Job gains occurred in professional and business services, in health care, and in transportation and warehousing.

In fact, the Fed's latest survey of national business conditions reflected concerns about labor shortages that are extending into non-skilled occupations as much as about tariffs.

Economists had expected job creation to slow but only to 184,000, even with the hurricane effect, from the 270,000 net new positions created in August. President Donald Trump's administration has imposed tariffs on imported steel and aluminum as well as on roughly half of China's imports to the United States.

Imports of goods and services increased 0.6 percent to a record US$262.7 billion in August.

In addition, the GDP grew an estimated 4.2 percent in the second quarter, claims of unemployment insurance are the lowest since the 1960s, middle-class income is highest on record (adjusted for inflation), and small business optimism has hit one record after another since Trump's election. Many of those jobs are likely to bounce back in the coming months.

Recommended

Rafa Benitez reacts to Newcastle's agonising defeat to Man United Rafa Benitez reacts to Newcastle's agonising defeat to Man United Reports last night suggested the Red Devils would sack Mourinho , regardless of the result against Newcastle . If there is some difficulty to have the agreement of Brexit, it's my fault.

Why Man City want to be more like Liverpool - Pep Guardiola Why Man City want to be more like Liverpool - Pep Guardiola Also, City have lost just one of their last 25 away games in the top flight, and they are yet to taste defeat in the PL this term. Guardiola said on Friday playmaker Kevin De Bruyne , out since August with a knee injury, would be assessed ahead of the game.

Tesla Shares Fall After Elon Musk Mocks SEC on Twitter Tesla Shares Fall After Elon Musk Mocks SEC on Twitter The tweets come days after Musk agreed to relinquish his Tesla chairmanship for at least three years and pay a $20 million fine. The tweet on Thursday was "plainly a statement that the SEC's case against Musk lacked merit", Crimmins said.

Jury Finds Jason Van Dyke Guilty Of Murdering Laquan McDonald Jury Finds Jason Van Dyke Guilty Of Murdering Laquan McDonald The defense built their counterargument around the video not being enough evidence to accurately depict the scenario for Van Dyke. It is extremely rare for police officers to be tried and convicted of murder for shootings that occurred while they were on duty.

Emily Ratajkowski arrested protesting Brett Kavanaugh nomination Emily Ratajkowski arrested protesting Brett Kavanaugh nomination Ratajkowski has confirmed she was detained amid the chaos and there have been images posted on TV and online of Schumer's arrest. Orrin Hatch (R-Utah) made headlines when he told a group of women to "grow up" when they attempted to corner him with questions.

Police clear Capitol steps of chanting protesters ahead of Kavanaugh vote Police clear Capitol steps of chanting protesters ahead of Kavanaugh vote During the rally, the president also accused Democrats of supporting sanctuary cities and of wanting to strip funding from U.S. The Republicans and Democrats both get 15 of those 30 hours to talk, debate etc...but at the end they have to vote.

US, Chinese unease as Putin seeks India arms deals US, Chinese unease as Putin seeks India arms deals The S-400 is Russia's most advanced long-range, surface-to-air missile system and can take down enemy aircraft from the ground. America's threat of sanctions, however, did impact the progress of negotiations between India and Russian Federation .

Nokia 7.1 launched with Android One, Snapdragon 636: Price, features, availability Nokia 7.1 launched with Android One, Snapdragon 636: Price, features, availability The Nokia 7 .1 will open for preorders on October 5th in Europe and the United Kingdom , where it will be priced from £299. The 3,060mAh battery should provide upwards of a day of use, but we'll be sure to test this when we get our review sample.

US, Chinese unease as Putin visits India to sign arms deals US, Chinese unease as Putin visits India to sign arms deals India also has intensified its defense ties with the U.S.in recent years with joint military drills and defense sales. Donald Trump's administration has explicitly urged its ally India against buying the S-400 Triumf missile system.

Another Former Kavanaugh Friend Says He Lied to Senate About Alcohol Use Another Former Kavanaugh Friend Says He Lied to Senate About Alcohol Use Police questioned Supreme Court nominee Brett Kavanaugh after he got into a bar fight in 1985, during his time at Yale. The report is the latest indication that Kavanaugh drank to excess in his youth and, apparently, became belligerent.

How to watch Brewers vs. Cubs How to watch Brewers vs. Cubs But the Milwaukee Brewers came up big against the Detroit Tigers, setting up game number 163 in the friendly confines. Charlie Blackmon, who had two of Colorado's four hits Monday, called it "an unbelievable opportunity".

Canada Dairy Industry: New NAFTA a Bad Outcome Canada Dairy Industry: New NAFTA a Bad Outcome As such, the announcement that Canada has joined the USA and Mexico in the proposed new NAFTA is a constructive development. NAFTA is out, USMCA is in. "The Teamsters are pleased with the progress that has been made towards replacing NAFTA".

Pivotal GOP senators slam Trump for mocking Kavanaugh accuser Speaking to reporters early Wednesday afternoon, Murkowski said: "I thought the president's comments yesterday mocking Dr. There are facts that she can not remember: how she got home, how she got there, where the house was, what the date was".

Brexit Secretary Denies DUP Has The Whip Hand In EU Talks Brexit Secretary Denies DUP Has The Whip Hand In EU Talks Theresa May has ruled out a second referendum saying "we had the people's vote and the people chose to leave". Many Conservatives expect her to face a leadership challenge soon after Brexit day - or even before.

Tottenham’s Harry Kane sets sights on Messi as Barcelona come to town Tottenham’s Harry Kane sets sights on Messi as Barcelona come to town Barcelona have returned to winning ways thanks to a 3-2 victory over Tottenham Hotspur in the Champions League this evening. We need to produce that same energy, the crowd were unbelievable that night.