June NFP = +213K

The June jobs report is out, and the numbers are pretty good. The U.S. economy created 213,000 net new jobs last month.

The unemployment rate ticked up from 3.8% to 4.0%. Actually, I dug into the decimals and the increase was closer to 0.3%. That’s the largest monthly increase in the unemployment rate since November 2010.

Part of the effect is more workers joining the labor pool. That can create the oxymoron of more jobs leading to a higher unemployment rate. After nine years of economic expansion, the jobs-to-population ratio is still lower than at any point from 1987 to 2008.

Here’s the growth of NFP along with a trend line that increases by 201,000 each month. They seem quite similar.

Posted by on July 6th, 2018 at 12:03 pm


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