The economy added 209,000 jobs, during the month of July – beating expectations and offering further proof that the Trump Administration’s economic expansion continues.
The expectation was that the economy would add as many as 180,000 jobs, so the numbers beat expectations.
In addition, the unemployment rate dropped to 4.3 percent, the lowest since 2001.
Releasing their economic analyses for the month of July, the Federal Reserve’s numbers should put to rest any thought by liberals of a Trump downturn.
In addition, average hourly earnings rose 0.3 percent over last month, meaning a 2.5 percent pay increase – on average – in the last year, Bloomberg reports.
Job gains were broad-based during July, led by a large jump in leisure and hospitality employment, a move driven by restaurants. Hiring also hit five-month highs in manufacturing and education and health services.
Stronger household incomes and buoyant consumer confidence are helping to propel demand, while a rebound in global growth has provided more opportunities for American exporters. With job vacancies close to record highs, employers are reluctant to fire workers, keeping jobless-benefit claims near the lowest in four decades.
The acceleration in wages on a monthly basis may show that managers are finally starting to boost pay some more in a bid to keep or attract workers. Even so, the 2.5 percent pace of annual pay growth is little changed over the past two years, owing to factors including weak productivity, as well as people returning to the labor force and accepting lower-skilled work.