We’re already back down to a 7-handle on the unemployment rate?
(by Half Dollar) The BLS Employment Situation Report has just been released for the month of September, 2020.
According to the BLS:
- Total employment rose by: 661,000
- Unemployment rate fell to: 7.9%
- Average hourly earnings rose by $0.02
- Labor force participation rate decreased to: 61.4%
Of course, I take those numbers with a grain of salt, and I do not trust these numbers, nor much of anything our government does or says lately, especially when it comes to inflation statistics, but that’s the topic of another article.
Regardless, some typical mainstream coverage of this latest Jobs Report, via Bloomberg (bold and bold added for emphasis and commentary):
U.S. job gains slowed in September by more than half from the prior month, missing forecasts and suggesting the economic recovery is downshifting as many Americans and businesses struggle without a Covid-19 vaccine or fresh government aid.
Nonfarm payrolls increased by 661,000 following an upwardly revised 1.49 million advance in August, according to data Friday from the Labor Department. That compared with the median estimate of economists for a gain of 859,000. The unemployment rate fell by more than forecast, dropping 0.5 percentage point to 7.9%, though the labor-force participation rate declined by 0.3 point to 61.4%, with declines particularly pronounced among women.
The report, the last before November’s presidential election, reflects a sizable decline in local education jobs, while gains in retail and temporary workers slowed. What’s more, persistently high jobless claims, along with this week’s announcements of tens of thousands of layoffs, also indicate widespread economic pain.
So, on the surface, it appears the less than expected job growth combined with a better than expected unemployment rate make this report a wash?
Gold & silver basically did nothing when the news “hit the tape”:
Of course, the Jobs Report is no longer the relevant news of the day.