- U.S Non-Farm Payrolls Add 156,000 Jobs in August
U.S. economy added fewer jobs than expected in August, weighing on both jobless rate and wage growth.
The non-farm payrolls added 156,000 jobs in August, lower than the revised 189,000 jobs, initially reported as 209,000 jobs, created in July, according to the Commerce Department.
Similarly, jobless rate rose from 4.3 percent to 4.4 percent in August, except the manufacturing sector where 36,000 jobs were created in the month. A six-year high. Another indication of the labor market attaining full employment.
Wage growth remains lackluster, rising just 0.1 percent month on month in August, and up 2.5 percent year on year.
Overall, the economy is healthy and growing at a moderate pace, with the labor market adding more jobs. However, growing uncertainties and Hurricane Harvey are expected to affect the pace of growth in the third quarter.
“This was a softer report, but it doesn’t change the overall picture, which is the economy and the labor market are in good shape,” said Gus Faucher, chief economist at PNC Financial Services Group Inc. in Pittsburgh. “August tends to be a little bit softer, so we can certainly see an upwards revision over the next couple of months,” and wage growth will accelerate as the labor market tightens, he said.
