Nonfarm payrolls in the US fell for the 8th straight month, as more than 84,000 jobs were lost in August. The consensus tabbed August for 75,000 job losses, so the report is somewhat negative. The unemployment rate also surged ahead of expectations, to a 6.1% annual rate. Economists were anticipating a number between 5.7 and 5.8%. The unemployment rate is at a 5-year high, and its meteoric rise of 1.1% in the past four months accounts for most of the gain in the last year.
In August, employment fell in manufacturing and employment services, while government and health care continued to add jobs. Average hourly earnings rose by 7 cents, or 0.4 percent, over the month.
Factory payroll losses accelerated, dropping by 61,000, their eighth straight monthly decline. Construction jobs fell by 8,000 in August. Both of these sectors haven’t experienced job gains in more than a year.
Service-producing industries lost 27,000 jobs, with losses seen in retail, transportation and financial services. Temporary-help jobs fell by 37,000.
Year to date, US payroll employment has fallen by 557,000.
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