–Pvt AHE -2c; Hours Rise, Implying Soft Gain in Production, Incomes
By Joseph Plocek
WASHINGTON (MNI) – The U.S. June employment report was weak and the
bright spot of a 0.2 point dip in the unemployment rate is likely to be
ignored.
The June employment report had few surprises, and shows slow
growth. Payrolls printed -125,000 and included -225,000 census workers
and +83,000 private jobs. May-April jobs were revised +25,000 in total.
The unemployment rate fell 0.2 point to 9.5% as the labor force
contracted by a huge 652,000 workers on seasonal adjustment. The
unadjusted labor force advanced 901,000, and the only age group whose
participation increased was age 55+.
Hours and wages (all Average Hourly Earnings fell 2 cents for
+1.7% over the year) were modest, suggesting slow gains ahead in income
and production.
June payrolls were mixed: manufacturing +9,000, construction
-22,000, retail -6,600, transportation +14,600, financial -15,000,
leisure +37,000, temp help +20,500, health +16,800.
Overall, this was not a robust report whose surprise drop in the
unemployment rate reflects more discouraged workers and caution entering
the workforce.
Details: Payrolls/Prior AHE,yoy Agg Hrs Civ Unempl Rt/Unrnd
Jun -125k —- +1.7% 99.1 9.5% (9.5115%)
May +433k +431k —– 99.0r 9.7% (9.6980%)
Apr +313k +290k —– 99.0r 9.9% (9.8633%)
** Market News International Washington Bureau: (202) 371-2121 **
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