Jobs Report Weakness

By on September 2, 2011

U. S. non-farm payrolls growth was non-existent as the much anticipated number showed zero jobs added for August. Some economists expected 100,000 new jobs. The unemployment rate was stuck at 9.1%. The dismal payrolls data release dropped Dow stock futures about 70 points.

From the Bureau of Labor Statistics (BLS):

Nonfarm payroll employment was unchanged (0) in August, and the unemployment rate held at 9.1 percent, the U.S. Bureau of Labor Statistics reported today. Employment in most major industries changed little over the month. Health care continued to add jobs, and a decline in information employment reflected a strike. Government employment continued to trend down, despite the return of workers from a partial government shutdown in Minnesota.

The change in total nonfarm payroll employment for June was revised from
+46,000 to +20,000, and the change for July was revised from +117,000 to +85,000.

SMA Comment: The focus goes back to whether there will be QE3 by the Fed. This sort of economic weakness would seem to make it more likely as it will add ammo to the “double-dip” case.

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>