U.S. Economy Loses Steam, Adding Only 20000 Jobs Last Month

U.S. Unemployment Rate

U.S. Unemployment Rate

MA added 11,400 jobs in January, while the unemployment rate remained at 3.1 percent for the fourth straight month, the Executive Office of Labor and Workforce Development announced on Friday.

The unemployment rate fell 0.2 percent to 3.8 percent, the lowest level since October 2018 (and before that, April 2000).

Unemployment in the Rome-Utica area fell from January 2018 to January 2019, according to newly released state Labor Department data.

Employment in professional and business services, healthcare and wholesale trade continued to trend up, while construction employment decreased. The national unemployment rate dropped slightly to 3.8 percent.

Other Services added 500 (+0.4%) jobs over the month.

The revision also set back the state's recovery of jobs lost during the 2008-2010 recession.

Job creation nearly ground to a halt in the USA last month in a stinging blow to President Donald Trump's hopes for undiminished economic growth this year.

February jobs report—What to know in markets Friday
America Created Just 20,000 Jobs in February

Y/y growth in average hourly earnings provided some welcome news, at 3.5% in February, up from a downwardly revised 3.1% in January.

Job gains over the last two months averaged 186,000 per month, well above the roughly 100,000 needed to keep up with the working-age population.

Nonfarm payrolls increased by 20,000 after an upwardly revised 311,000 gain the prior month, a Labor Department report showed March 8.

Last month's pullback in hiring does follow signs that US economic growth is slowing because of a weaker global economy, a trade war between the United States and China and signs of caution among American consumers.

Retailers cut 6,100 positions, while jobs in a category that mostly includes restaurants and hotels were unchanged. Temporary help employment was up 2.2% y/y, with monthly job gains averaging approximately 5,600 over the past 12 months.

"Women's unemployment rate is down to 3.6 per cent - was 7.9 per cent in January 2011". The rate for Hispanic and Latino Americans, though, dropped to a record low of 4.3 percent. And others argued that the economy was still resetting from the 35-day partial government shutdown, the longest in US history, which lasted from the end of December to January.

While optimism among USA manufacturers remains high, for example, almost 72 percent of respondents listed hiring as a tob concern. Economists have been looking for signs that wages are growing more given the low unemployment rate and employers finding it hard to fill positions.

Latest News