August, Jobless Rate Fell 8.1%

[simple]

Payrolls in U.S. Rose 96,000 in August, Jobless Rate Fell

Payrolls rose less than projected in August and the unemployment rate declined as more Americans left the labor force, indicating the U.S. labor market is stagnating.

The economy added 96,000 workers last month following a revised 141,000 rise in July that was smaller than initially estimated, Labor Department figures showed today in Washington. The median estimate of 92 economists surveyed by Bloomberg called for a gain of 130,000. Unemployment unexpectedly fell to 8.1 percent, and hourly earnings were unchanged.

Employers may be reluctant to expand headcounts as they face a global economic slowdown and the so-called fiscal cliff of automatic tax increases and government spending cuts. The damage inflicted by the lack of progress on jobs is the reason Federal Reserve Chairman Ben S. Bernanke last week said the central bank may need to do more.

“Businesses are trying to plan for a climate of uncertainty,” Robert Dye, chief economist at Comerica Inc. in Dallas, said before the report. “There’s too much uncertainty about taxes, about expenditure cuts. The economy is already reacting to it.”

Stock-index futures pared gains after the figures, with the contract on the Standard & Poor’s 500 Index rising 0.2 percent to 1,434.4 at 8:35 a.m. in New York, after climbing as much as 0.5 percent.

Bloomberg survey estimates ranged from increases of 70,000 to 185,000. Revisions to prior reports subtracted a total of 41,000 jobs from payrolls in the previous two months.

Factory employment fell by the most in two years, temporary-help companies eliminated positions for the first time in five months and the share of the working-age population in the labor force slumped to the lowest since 1981.

Presidential Election

Today’s figures come two months before the presidential election. Employment and the economy are central themes in the campaign, with President Barack Obama and Republican challenger Mitt Romney each trying to convince voters they can best energize the expansion and create jobs.

Private payrolls, which exclude government agencies, rose 103,000 after a revised gain of 162,000. They were projected to rise by 142,000, the survey showed.

The jobless rate fell from 8.3 percent as 368,000 Americans left the labor force. Unemployment was forecast to hold at 8.3 percent, according to the survey median. Estimates in the Bloomberg survey ranged from 8.1 percent to 8.4 percent.

Factory payrolls decreased by 15,000, compared with a survey forecast for a 10,000 increase, after a 23,000 gain in the previous month. Automakers cut 7,500 jobs last month.

My link

Actually lowest in labor force since Reagan years but still adding jobs.

Edited September 7, 2012 by simple

[sandstorm]

Thats the same number unemployed seeking fewer total jobs. The jobs are leaving the marketplace....but it makes those fudged numbers look better at a percentage. when....you have the unemployed expiring off the numbers and less jobs out there.....its a complete sham on the numbers.

Edited September 7, 2012 by sandstorm

[caz1104]

Simple,just like our conversation yesterday.........hmmmm. Using your argument bout how numbers can be skewed in ones favor and don't necessarily tell the whole story,this could be a perfect example.-Peace

[BJinMontreal]

Payrolls in U.S. Rose 96,000 in August, Jobless Rate Fell

Payrolls rose less than projected in August and the unemployment rate declined as more Americans left the labor force, indicating the U.S. labor market is stagnating.

The economy added 96,000 workers last month following a revised 141,000 rise in July that was smaller than initially estimated, Labor Department figures showed today in Washington. The median estimate of 92 economists surveyed by Bloomberg called for a gain of 130,000. Unemployment unexpectedly fell to 8.1 percent, and hourly earnings were unchanged.

Employers may be reluctant to expand headcounts as they face a global economic slowdown and the so-called fiscal cliff of automatic tax increases and government spending cuts. The damage inflicted by the lack of progress on jobs is the reason Federal Reserve Chairman Ben S. Bernanke last week said the central bank may need to do more.

“Businesses are trying to plan for a climate of uncertainty,” Robert Dye, chief economist at Comerica Inc. in Dallas, said before the report. “There’s too much uncertainty about taxes, about expenditure cuts. The economy is already reacting to it.”

Stock-index futures pared gains after the figures, with the contract on the Standard & Poor’s 500 Index rising 0.2 percent to 1,434.4 at 8:35 a.m. in New York, after climbing as much as 0.5 percent.

Bloomberg survey estimates ranged from increases of 70,000 to 185,000. Revisions to prior reports subtracted a total of 41,000 jobs from payrolls in the previous two months.

Factory employment fell by the most in two years, temporary-help companies eliminated positions for the first time in five months and the share of the working-age population in the labor force slumped to the lowest since 1981.

Presidential Election

Today’s figures come two months before the presidential election. Employment and the economy are central themes in the campaign, with President Barack Obama and Republican challenger Mitt Romney each trying to convince voters they can best energize the expansion and create jobs.

Private payrolls, which exclude government agencies, rose 103,000 after a revised gain of 162,000. They were projected to rise by 142,000, the survey showed.

The jobless rate fell from 8.3 percent as 368,000 Americans left the labor force. Unemployment was forecast to hold at 8.3 percent, according to the survey median. Estimates in the Bloomberg survey ranged from 8.1 percent to 8.4 percent.

Factory payrolls decreased by 15,000, compared with a survey forecast for a 10,000 increase, after a 23,000 gain in the previous month. Automakers cut 7,500 jobs last month.

My link

Actually lowest in labor force since Reagan years but still adding jobs.

I love the way they keep painting these rosey pictures ... and then have to revise the numbers downward a month or so later because the projections were estimated at being too high !!!

[simple]

I love the way they keep painting these rosey pictures ... and then have to revise the numbers downward a month or so later because the projections were estimated at being too high !!!

I don't think these numbers are considered as rosy.

Simple,just like our conversation yesterday.........hmmmm. Using your argument bout how numbers can be skewed in ones favor and don't necessarily tell the whole story,this could be a perfect example.-Peace

Headlines are headlines, the numbers are explained in the article. Nothing hidden! 368k dropped from the labor force whether retirement or other. As long as they don't file for unemployment we have to consider them as retired.

Thats the same number unemployed seeking fewer total jobs. The jobs are leaving the marketplace....but it makes those fudged numbers look better at a percentage. when....you have the unemployed expiring off the numbers and less jobs out there.....its a complete sham on the numbers.

New jobs is the key number. Although lower than predicted by the economic experts (130k), new jobs are still a plus.

[Frogee]

They play with the numbers. When I had to close my shop last year after 44 years in business, the 4 employees and myself lost our jobs. Those jobs are not counted anymore as unfilled, and I am not counted as unemployed. So look around at the empty storefronts and buildings, and remember that those jobs are not counted anymore.

[caz1104]

I don't think these numbers are considered as rosy.

Headlines are headlines, the numbers are explained in the article. Nothing hidden! 368k dropped from the labor force whether retirement or other. As long as they don't file for unemployment we have to consider them as retired.

New jobs is the key number. Although lower than predicted by the economic experts (130k), new jobs are still a plus.

"consider them retired" or just given up. You should see the file I keep for possible hires. The diverse job backgrounds are like I have never seen, and the number of applicants is a 20 year high easy. I'm glad things are improving but please tell me where? It sure as heck is'nt anywhere I do business here in ATL or clients nationwide,but hey thats just REAL people telling it like it is not the gov telling us half truths or flat out lies.-Peace