Slowing but still-strong U.S. job market keeps economy going in turbulent times

Marketwatch ^ | 09/29/2019 | Jeffry Bartash

[SeekAndFind]

Trump impeachment talk, China trade tensions, drone strikes in Saudi Arabia, a messy “Brexit” — it’s all enough to sour Wall Street and Main Street on the U..S. economy’s future.

Thank goodness for the strongest labor market in several decades.

To be sure, the U.S. jobs market itself is also showing signs of stress. Hiring has slowed this year, bigwig CEOs say they’re cutting back and a recent survey suggests service-oriented companies are reducing employment for the first time in a decade.

The economy is still producing enough new jobs, however, to outstrip the number of people entering the labor force each month, such as new immigrants, high school and college grads and working mothers heading back to the office.

What’s more, the pace of layoffs and the unemployment rate remain near a 50-year low

The latest snapshot on the labor market due next Friday October 4 is likely to show more of the same. The economy likely added 140,000 new jobs in September, up from 130,000 in the prior month. That should keep the unemployment rate at or near 3.7%.

It’s probably unrealistic to expect much better than that. The number of new jobs added in the past six months, for instance, has tapered off to a 150,000 monthly average from 223,000.

“The fact remains that job growth has cooled,” economists Michelle Girard and Kevin Cummins of Natwest Markets wrote to clients.

Fortunately that’s still more than enough to keep layoffs from rising for the first time in a decade, a turnabout that if it happens could undermine consumer confidence and even jeopardize the longest expansion in U.S. history.

[dfwgator]

What turbulent times?

People have no sense of perspective, we’ve been through much more turbulent times than this.

[1Old Pro]

What turbulent times?

Probably referring to turbulent times abroad, which does effect our economy's strength regarding the obvious exports. But as usual they are poorly intentionally written to paint Trump's excellent economy as on thin ice.

[ClearCase_guy]

Imagine what it would be like if the media and the government weren’t trying to sabotage everything!

[ProtectOurFreedom]

I’m doing my part. I retired two years ago so some smart, young, low-cost whippersnapper could take my spot.

“Whippersnapper” — now that’s a word I love and I don’t think I’ve ever used it before.

[spincaster]

Democrats are what keeps the times turbulent. They are truly anti American.

[ActresponsiblyinVA]

Democrats try to undermine the economy and cause a recession. They do not care about the millions of people their conduct will destroy.

[reed13k]

My own opinion is that the market is cooling a little mainly because they aren’t offering any incentive to move out of someones current position.

I continually get calls to look at positions that are either under my current rate or only a small amount over. It doesn’t make sense to go through all the hassle of moving, training, reestablishing yourself, etc for no additional upside.

So the jobs are out there for extended periods with no takers. You have to ask yourself at that point why they aren’t at least promoting from within...no one wants the job or they don’t trust their people? Neither would be a good sign.

[setter]

“What turbulent times?”

Companies are scared crapless a Sanders or Warren will get in.

I’ve had numerous business clients tell me they are no longer making any more major expense until they see who is going to win.

[ProtectOurFreedom]

I think you put your finger on the root cause. The fear is more palpable a LOT earlier this election cycle because of all the communists the Dems are fielding and the fact that they are no longer disguising and hiding their communism.

[Oatka]

Companies are scared crapless a Sanders or Warren will get in.
I’ve had numerous business clients tell me they are no longer making any more major expense until they see who is going to win.

That's actually a plus. Short of some Howling Disaster, the Democratic nominee will be beaten like a rented mule. When President Trump is re-elected, the economy will take off in another burst of pent-up investment energy like that what happened after his election.