• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Stock

U.S. added 818,000 fewer jobs than thought, adding to concerns about a slowing economy

by August 22, 2024
written by August 22, 2024

U.S. job gains over the 12 months ending in March were revised downward Wednesday by 818,000 — a significant revision that adds to recent concerns that the economy has been slowing.

The change means that roughly 2.1 million jobs were created in the U.S. in the past year, compared with about 2.9 million prior to the revision. The new figures do not represent job losses — merely new estimates of how many jobs were actually created during the period in question.

‘Even after these large downward revisions, the labor market looks to have been on solid footing,’ Bank of America research analysts said after the report’s release.

The data serves as additional evidence that a more significant downturn in the U.S. economy may be afoot. While the economy has grown steadily in recent quarters, often outpacing expectations, the unemployment rate recently climbed to a new post-pandemic high of 4.3% (the data revisions today do not affect measures of the unemployment rate). The share of American workers both employed and unemployed looking for new work rose to its highest level in a decade in July — even as hiring has largely ground to a halt.

In a statement, White House Chief Economic Adviser Jared Bernstein said the preliminary estimate ‘doesn’t change the fact that the jobs recovery has been and remains historically strong, delivering solid job and wage gains, strong consumer spending, and record small business creation.”

Wednesday’s update from the Bureau of Labor Statistics was the largest negative revision since 2009. Still, it was slightly less than feared by forecasters, some of whom had warned it could have been as high as 1 million. Market reaction was largely muted.

In a note to clients following Wednesday’s release, Olivia Cross, economist with Capital Economics research group, said the report means that the jobs data covered by the period were ‘softer than first thought, but not worryingly so,’ and that it will likely lead the Federal Reserve to cut its key interest rate by 0.25% in September, as most analysts expected before Wednesday’s release.

On an absolute basis, employment in professional and business services saw the largest adjustment, down 358,000 jobs compared to what was previously reported. Leisure and hospitality was next, down 150,000.

On a percentage basis, information occupations saw the biggest adjustment, a decline of 2.3%.

Each year, the Bureau of Labor Statistics uses state unemployment insurance tax records to paint a more accurate picture of the jobs market compared with its regular monthly surveys.

The BLS revisions are preliminary, and the scale of the revisions will again be adjusted next February.

This year’s revision was highly anticipated as market observers debate whether the Federal Reserve has been too slow to cut rates amid signs of a slowing economy. The Fed is expected to cut interest rates by 0.25% at its next policy-setting meeting on Sept. 18.

Bank of America’s research analysts said the report will have ‘little impact’ on expectations for Fed policy, adding that the Fed already had concerns about the labor market before the revisions.

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
David Marcus: Meet the RFK voters who could cause an earthquake in the 2024 election
next post
David Marcus: Meet the RFK Jr voters who could cause an earthquake in the 2024 election

related articles

Amazon taps Xbox co-founder to lead new team...

May 30, 2025

Nvidia results spark global chip rally

May 30, 2025

Boeing to resume airplane deliveries to China next...

May 29, 2025

E.l.f. Beauty to acquire Hailey Bieber skin care...

May 29, 2025

Dick’s Sporting Goods stands by full-year guidance —...

May 28, 2025

Macy’s CEO says retailer will hike some prices...

May 28, 2025

23andMe to delist from Nasdaq, deregister with SEC

May 28, 2025

Walmart fined for shipping realistic toy guns to...

May 28, 2025

Why Trump’s iPhone tariff threat might not be...

May 25, 2025

United Airlines reaches ‘industry-leading’ labor deal with flight...

May 24, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • GOP Sen. Joni Ernst officially backs Pete Hegseth for DOD after initial uncertainty

    January 15, 2025
  • Trump-Harris race neck and neck nationally in new survey, pollster sees ‘warning sign’ for Dems

    September 10, 2024
  • Kash Patel takes reins at scandal-ridden FBI with ‘America always’ mindset: ‘Let good cops be cops’

    February 21, 2025
  • Starbucks union announces strike to last through Christmas Eve in 3 major cities

    December 20, 2024
  • Capital One and Discover merger approved by Federal Reserve

    April 19, 2025

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,728)
  • Investing (624)
  • Stock (774)

Latest Posts

  • Trump’s tariff threats go beyond ‘trade agreement’ to advance American interests: expert

    December 9, 2024
  • Bitcoin price is back to the support zone again this morning

    August 30, 2024
  • Paramount special committee extends Skydance ‘go shop’ period as it reviews Bronfman offer

    August 23, 2024

Recent Posts

  • Trump-backed spending bill goes down in flames as shutdown looms

    December 20, 2024
  • Next Big Cryptocurrency: 2024 Top Picks

    July 26, 2024
  • AUDUSD and AUDNZD: AUDUSD has an opportunity to recover

    August 23, 2024

Editor’s Pick

  • More than 1 million federal employees complied with Musk’s ‘what did you do last week’ email: WH

    February 25, 2025
  • Trump-backed bills targeting activist judges, noncitizen voting head for House-wide votes

    April 1, 2025
  • Trump-backed bill to avert government shutdown passes House despite mutiny threats

    March 11, 2025
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock