By Thomas Cooley and Peter Rupert
The Bureau of Labor Statistics announced a 164,000 increase in payroll employment. There were 148,000 jobs added in the private sector and 16,000 added to government payrolls. There were 41,000 in downward revisions, 31,000 less in June and 10,000 less in May. The mining sector shed 5,000 jobs and retail lost 3,600 and Information was down 10,000.
These numbers certainly suggest some cooling in the labor market but it still is a healthy increase in employment. Labor force participation inched up slowly.
The trade war is having an impact on both exports and imports and eventually this will show up in the labor markets, but so far there is no cause for panic and little to support further Fed pre-emptive action.
Average weekly hours fell to 34.3 from 34.4. Average hourly earnings increased by from $27.90 to $27.98, a 0.28% increase.
The recent Fed cut and the tepid employment report likely mean the Fed will stay the current course with no expected cut in the near future without something more drastic happening in the economy.
