US Unemployment shows 5.5%, net loss of 62,000 jobs
The data was better than expected. I will look to see what a drill down says about the data. My initial take is that the data look fairly benign: construction fell by 43,000, manufacturing employment fell by 33,000. Within professional/business services, employment services lost 59,000, half of that (-30,000) occurred in temporary help services. But, there were no shockers to the downside.
Barry Ritholtz has a good summary on the finer points including prior adjustments and the birth/death model.
Nonfarm payroll employment continued to trend down in June (-62,000), while
the unemployment rate held at 5.5 percent, the Bureau of Labor Statistics of
the U.S. Department of Labor reported today. Employment continued to fall in
construction, manufacturing, and employment services, while health care and
mining added jobs. Average hourly earnings rose by 6 cents, or 0.3 percent,
over the month.
Unemployment (Household Survey Data)
The number of unemployed persons was essentially unchanged in June, at
8.5 million, and the unemployment rate held at 5.5 percent. A year earlier,
the number of unemployed persons was 7.0 million, and the jobless rate was
Industry Payroll Employment (Establishment Survey Data)
Total nonfarm payroll employment continued to trend down in June (-62,000).
Since peaking in December 2007, payroll employment has fallen by 438,000. In
June, job losses continued in construction, manufacturing, and employment ser-
vices. Health care and mining added jobs over the month. (See table B-1.)
Employment in construction fell by 43,000 in June, as job losses continued
across the industry. Since its peak in September 2006, construction employment
has fallen by 528,000.
In June, manufacturing employment fell by 33,000. Job losses were wide-
spread throughout the industry, with notable declines in fabricated metal pro-
ducts (-9,000), printing and related support activities (-6,000), and wood pro-
ducts (-6,000). Employment in motor vehicles and parts edged up by 6,000 over
the month, largely reflecting the return of workers from strikes and related shut-
downs. Over the past 12 months, manufacturing has lost 353,000 jobs.
Within professional and business services, employment services lost 59,000 jobs
in June; about half of the decrease (-30,000) occurred in temporary help services.
So far this year, monthly job losses in temporary help services have averaged 26,000
compared with average declines of 7,000 per month in 2007.