–Labor Force Partic Rebounds 0.2; Jobs Gain in Mfg, Transit, Wholesale
By Joseph Plocek
WASHINGTON (MNI) – The U.S. May employment report showed pervasive
weakness, giving further evidence that the U.S. economy slowed in the
spring.
May payrolls printed just +69,000 and April-March payrolls posted
downward revisions totaling -49,000 in another sign of weakness. The Q1
average payroll gain was +226,000 a month. The average so far in Q2 is
just +73,000 a month. Only a tiny fraction of the May loss of momentum
stems from additional strike activity.
The civilian unemployment rate rose 0.1 point to 8.2% and has not
moved much since January. Labor force participation was up 0.2 point to
63.8%, partly explaining the rise, and possibly a slight rebound.
It is as yet unclear how the termination of extended unemployment
benefits in many states in the last few weeks will affect the measure of
unemployment. These workers could move off the labor force rolls, or
could linger, with opposite effects on the measure.
Unemployment for adult men, a key metric, rose 0.3 point to 7.8%.
Hours were weak; total private Average Hourly Earnings fell 1 cent
to +1.4% over the year. These suggest slowing wages and production.
Jobs composition: construction -28,000, manufacturing +12,000,
retail +2,300, transport/warehouse +35,600 (including transit at
+20,100), wholesale +15,900, temporary jobs +9,200, and healthcare
+32,800.
Government printed -13,000 on drops in most areas, leaving
private jobs at +82,000, hardly an indication of a robust economy.
Details: Payrolls/Prior Pv AHE,yoy Agg Hrs Civ Unempl Rt/Unrnd
May +69k —- +1.39% 103.3 8.2% (8.2061%)
Apr +77k +115k +1.70% 103.2r 8.1% (8.0977%)
Mar +143k +154k +1.76% 103.1r 8.2% (8.1916%)
** MNI Washington Bureau: (202) 371-2121 **
[TOPICS: M$U$$$,MAUDS$,MT$$$$,MAUDR$]
