Fingers have been crossed, prayers offered and hands are wrung waiting for an increase in the number of jobs. The May jobs report did not live up to those expectations. That is not to say it was bad, but it was not as good as many were hoping, which caused a disturbance within the stock markets. Fewer than 50,000 non-farming private sector jobs were added, and also the biggest job growth over the last couple of months seems to be for the US Census.
Jobs report shows slower growth
The recently released May jobs report from the Department of Labor is not a forecast for the apocalypse. It would seem, though, the unemployment rate is going to be done in with attrition. According to Forbes, the May jobs report showed a gain of 431,000 total jobs. Most of them are seasonal. The US Census accounted for 411,000 of those jobs, so unemployment is going to go back up in June.
Private sector slumps
The private sector didn’t perform too well. Only 41,000 jobs were added overall in non-farming private sector jobs, which is down from 218,000 from the April jobs report. It looks like a slow climb, as those are the lowest numbers of jobs created given that January. On the plus side, however, the unemployment rate dropped to 9.7 percent from 9.9 percent the previous month.
Stock markets slide
This has not been a great month for the stock markets. The European debt crisis along with the slower job growth led to a dip for the Dow Jones and NASDAQ of 1.9 percent, and the S&P 500 lost 2 percent in trading, according to CNN Money. It may be longer than previously believed before true recovery has occurred.
Citations
Forbes
forbes.com/feeds/ap/2010/06/04/general-technology-hardware-amp-equipment-us-economy_7661383.html?boxes=Homepagetopnews
CNN Money
money.cnn.com/2010/06/04/markets/markets_newyork/
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