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Surprisingly Strong Job Rebound Provides Some Temporary Relief
July 10, 2016 | The Conference BoardEstimated reading time: Less than a minute
Following a disappointing (and downwardly revised) 11,000 jobs gained in May, the economy generated a whopping 287,000 jobs in June. The good news is that this moderates the slowdown in job growth that many expected, which will provide some relief to jittery financial markets. However, the larger story remains a gradually weakening economy and moderating employment growth.
The increase in the unemployment rate to 4.9% in June was not entirely surprising after the 0.3 percentage point drop in May. If employment continues to grow by about 150,000 a month, which is the rate in the past two months, the unemployment rate will continue to decline. The year-over-year wage growth continues to climb, reflecting an economy moving towards normal labor market tightness.
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The Conference Board is a global, independent business membershipand research association working in the public interest. Our mission is unique: To provide the world’s leading organizationswith the practical knowledge they need to improve their performance and better serve society. The Conference Board is a non-advocacy, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States.
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