Skip to comments.Mirage: Nonfarm Payrolls +169K, Labor Force Participation Falls To 63.2%, Part-time +211k
Posted on 09/06/2013 6:09:22 AM PDT by whitedog57
Jobs Friday begins with a tepid display. nonfarm payrolls (NFP) rose by 169,000, less than expected. Revisions reduced a combined 74,000 jobs from July and June payrolls, so the gains we thought we had in June and July were partly a mirage.
Labor force participation fell to 63.2%, continuing its downward spiral. Note that M2 Money Velocity (yellow) line is following a similar downward trajectory.
The number of people not in the labor force rose by a whopping 516,000 in one month, which in turn increased the total number of people outside the labor force to a record 90.5 million Americans.
The winners in the NFP derby were retail (+44k), Ambulatory health care services (+26.6k) and Food services and drinking places (+21.2k)
Part-time jobs? Up 211k. So, NFP up 169k, but part-time jobs up 211k?
The reaction in the 10 Treasury yield?
Full time jobs down 42k.
Waiting for humblegunner’s take. lol
Are we looking at stagflation?
If everyone in the US died and were thus removed from the workforce.. “Good news comrades! Unemployment is ZERO!”
The real story is the major downward revision of the previous period new job numbers. This is a pattern.
When is the last time the previous period number was revised upward?
This latest number will be revised downward in a month.
The market knows this.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.