[Washington, 4th, Reuters]-The US Employment Statistics announced on September 4 shows that the number of employees in the non-agricultural sector increased by 136,000 from the previous month. Market expectations were up 145,000. The unemployment rate dropped from 3.7% last month to 3.5%, the lowest level in nearly 50 years. As trade friction continues, concerns about the recession may ease.
However, the average hourly wage was flat from the previous month. August was 0.4% higher than the previous month. September was up 2.9% year-on-year. August was up 3.2%.
The average weekly working hour was 34.4 hours, the same as the previous month.
Employment has slowed in all sectors except the government sector. The government is increasing employment due to census every 2020 in 2020.
The private sector increased by 114,000 from the previous month and decelerated from an increase of 122,000 from the previous month. Among them, the manufacturing industry decreased by 2000 from the previous month, and it has been negative since March. Last month was an increase of 2000. Manufacturing has lost momentum since last year's strong growth. The Trump administration argues that trade friction is aimed at boosting the US manufacturing industry, but ironically, the sector has been hit. The manufacturing industry is also reducing overtime.
Government sector increased by 22,000. Last month it was up 46,000.
This week, soft economic indicators continued. The September manufacturing economy index was the lowest for 10 years. The September Service Division Purchasing Managers' Index (PMI) was the lowest since 16 years. [nL3N26M3BW] [nL3N26O2T7]
There are signs that the impact of the US-China trade friction that has lasted for 15 months has spread to a wide range of economies, and maintaining the firm labor market has become important in reducing the impact on the economy. .
The number of employees in August was revised upward from the 130,000 increase announced initially to 168,000. In the initial estimation, the seasonal factors that students quit their part-time job during summer vacation may have been affected.
Although employment continues to grow moderately and the unemployment rate has fallen significantly, economists see the Federal Reserve (FRB) still cut interest rates at least once more this year.
The US administration announced this week that it will impose duties on aircraft and other industrial and agricultural products from the European Union. This is because the World Trade Organization (WTO) approved a US retaliation duty on EU products over a subsidy for Airbus, a major aircraft company in the EU. Experts believe that the EU will impose tariffs on US products over the US government's Boeing subsidy next year. [nL3N26O03X]
The FRB decided to cut the rate for the first time since July 2008, following the first rate cut since 2008, to continue the longest economic expansion in its 11th year. Third-quarter gross domestic product (GDP) is expected to increase 1.3-1.9% annually. The second quarter was 2.0% higher than the 3.1% increase in the first quarter.
This year, the average monthly employment has increased by 161,000. Although it was below the average in September, it still exceeds the approximately 100,000 people needed to maintain the growth of the working age population.