Welcome!

Friday, February 5, 2016

151K New Jobs In January, Unemployment Rate Down To 4.9%

Headline weakness masks an otherwise solid employment report for January. Nonfarm payrolls rose 151,000 vs expectations for 188,000. December was revised 30,000 lower to 262,000 but November was revised 28,000 higher to 280,000. Now the signs of strength as the unemployment fell 1 tenth to 4.9 percent while the participation rate rose 1 tenth to 62.7 percent. In another sign of strength, the average workweek rose to 34.6 hours to end a long run at 34.5 hours. Average hourly earnings rose a very sharp 0.5 percent though the monthly gain didn't make for any change in the year-on-year rate which holds steady at a still moderate 2.5 percent. The labor market may be backing off slightly so far this year but it continues to approach full employment, a factor that offers support for further Federal Reserve rate hikes.

No comments:

Post a Comment

Legal Shield

Pre-Paid Legal