Economists polled by Bloomberg forecast a rise in nonfarm payrolls of 225,000 in June. While one of the smallest increases since the end of 2020, this remains a positive development as the U.S. job market continues to grow following its pandemic-induced slump.

The report, due to be released on Friday, is expected to show that unemployment decreased to 3.6%, while average hourly earnings grew 4.2% from July 2022.

Despite positive projections, Bloomberg Economics remains skeptical of market optimism.

“Wall Street analysts and economists are increasingly optimistic that the US economy is heading for a soft-landing scenario”, Bloomberg Economics stated. “We disagree. A key source of past resilience in the economy – households’ financial buffer – is fast disappearing. As a result, consumer delinquencies and small business bankruptcies are rising fast.”

Other figures that are expected include weekly unemployment claims, job cuts, private payrolls, and May job openings.

The post Incoming U.S. Labor Market Readings Expected to Show Job Growth appeared first on theprimarymarket.com.

Data from the Department of Labor on Thursday showed that applications for unemployment benefits in the U.S. fell by 16,000 to 230,000 for the week ending April 22. Over 1.86 million people were claiming unemployment benefits that week, down 3,000 from the previous week.

While jobless claims are higher than the 200,000 submitted at the start of the year, the U.S. labor market remains strong by historic standards. 236,000 jobs were added in March, lower than the 472,000 in January and the 326,000 in February but still historically strong.

Federal Reserve officials worry that the strong labor market could put pressure on wages and in turn prices, thereby undermining the fight to control inflation. While inflation was 5% year-over-year in March, it remains higher than the Fed’s 2% annual inflation target.

The post Labor Market Remains Strong as Jobless Claims Fall appeared first on theprimarymarket.com.

223,000 non-farm payrolls were added in December, thereby outpacing the 202,000 payroll rise projected by Wall Street analysts. As a result, the U.S. unemployment rate fell to 3.5%, thereby proving the labor market’s resilience in the face of the Federal Reserve’s decision to raise interest rates to their highest levels in 15 years.

While the unemployment rate beat analysts’ estimates of 3.7%, average hourly earnings of non-farm employees on a monthly basis increased by 0.3%, falling marginally short of an expected 0.4% growth. On a year-over-year basis, average hourly earnings increased by 4.6%, falling short of projections of a 5.0% rise.

Despite employment numbers fluctuating in recent months, hiring continues to remain robust. This trend is contrary to the Federal Reserves’ aim to limit exponential job growth which is placing pressure on wages and driving inflation upward.

The post Payrolls Rise By 223,000 in Final 2022 Jobs Report appeared first on theprimarymarket.com.

The massive job gains have brought down the unemployment rate to 3.5%, returning the job market to its pre-pandemic levels. This jobless rate was last season in February 2020, when it marked the lowest point in almost 50 years.

Among other bits of info, the Bureau of Labor Statistics report also showed that Americans are earning 0.5% more per hour compared to an estimated 0.4%. Also, hourly earnings increased 5.2% year over year.

These numbers have caught experts by surprise as the Fed’s interest rate hikes and surging inflation were expected to cool off the U.S. labor market. However, it appears that the layoffs and job cuts mainly targeted the tech industry, with the service industry ramping up its hiring due to increased customer demand. A big part of the process was also businesses hiring back the employees they laid off during the pandemic.

Analysts now believe that these numbers will make the Fed even more aggressive with increasing interest rates. The committee is set to meet again in September when it might bump up the rates by another 0.7% points. This would be the third hike in the same range since June.

The post U.S. Labor Market Delivers a Surprise With Massive Job Gains appeared first on theprimarymarket.com.

Economists polled by Bloomberg forecast a rise in nonfarm payrolls of 225,000 in June. While one of the smallest increases since the end of 2020, this remains a positive development as the U.S. job market continues to grow following its pandemic-induced slump.

The report, due to be released on Friday, is expected to show that unemployment decreased to 3.6%, while average hourly earnings grew 4.2% from July 2022.

Despite positive projections, Bloomberg Economics remains skeptical of market optimism.

“Wall Street analysts and economists are increasingly optimistic that the US economy is heading for a soft-landing scenario”, Bloomberg Economics stated. “We disagree. A key source of past resilience in the economy – households’ financial buffer – is fast disappearing. As a result, consumer delinquencies and small business bankruptcies are rising fast.”

Other figures that are expected include weekly unemployment claims, job cuts, private payrolls, and May job openings.

The post Incoming U.S. Labor Market Readings Expected to Show Job Growth appeared first on theprimarymarket.com.

Data from the Department of Labor on Thursday showed that applications for unemployment benefits in the U.S. fell by 16,000 to 230,000 for the week ending April 22. Over 1.86 million people were claiming unemployment benefits that week, down 3,000 from the previous week.

While jobless claims are higher than the 200,000 submitted at the start of the year, the U.S. labor market remains strong by historic standards. 236,000 jobs were added in March, lower than the 472,000 in January and the 326,000 in February but still historically strong.

Federal Reserve officials worry that the strong labor market could put pressure on wages and in turn prices, thereby undermining the fight to control inflation. While inflation was 5% year-over-year in March, it remains higher than the Fed’s 2% annual inflation target.

The post Labor Market Remains Strong as Jobless Claims Fall appeared first on theprimarymarket.com.

223,000 non-farm payrolls were added in December, thereby outpacing the 202,000 payroll rise projected by Wall Street analysts. As a result, the U.S. unemployment rate fell to 3.5%, thereby proving the labor market’s resilience in the face of the Federal Reserve’s decision to raise interest rates to their highest levels in 15 years.

While the unemployment rate beat analysts’ estimates of 3.7%, average hourly earnings of non-farm employees on a monthly basis increased by 0.3%, falling marginally short of an expected 0.4% growth. On a year-over-year basis, average hourly earnings increased by 4.6%, falling short of projections of a 5.0% rise.

Despite employment numbers fluctuating in recent months, hiring continues to remain robust. This trend is contrary to the Federal Reserves’ aim to limit exponential job growth which is placing pressure on wages and driving inflation upward.

The post Payrolls Rise By 223,000 in Final 2022 Jobs Report appeared first on theprimarymarket.com.

The massive job gains have brought down the unemployment rate to 3.5%, returning the job market to its pre-pandemic levels. This jobless rate was last season in February 2020, when it marked the lowest point in almost 50 years.

Among other bits of info, the Bureau of Labor Statistics report also showed that Americans are earning 0.5% more per hour compared to an estimated 0.4%. Also, hourly earnings increased 5.2% year over year.

These numbers have caught experts by surprise as the Fed’s interest rate hikes and surging inflation were expected to cool off the U.S. labor market. However, it appears that the layoffs and job cuts mainly targeted the tech industry, with the service industry ramping up its hiring due to increased customer demand. A big part of the process was also businesses hiring back the employees they laid off during the pandemic.

Analysts now believe that these numbers will make the Fed even more aggressive with increasing interest rates. The committee is set to meet again in September when it might bump up the rates by another 0.7% points. This would be the third hike in the same range since June.

The post U.S. Labor Market Delivers a Surprise With Massive Job Gains appeared first on theprimarymarket.com.