EmailStory Stocks®
Archive
Last Update: 04-Nov-11 09:17 ET
Employment Numbers Support Low/Moderate GDP Growth
Nonfarm payrolls added 80,000 new jobs in October after adding an upwardly revised 158,000 (from 103,000) in September. The Briefing.com consensus expected payrolls to increase by 85,000 jobs.
Private payrolls added 104,000, slightly below consensus expectations of 117,000 but in-line with the October ADP report. September private payrolls were revised up from 103,000 to 191,000.
The employment situation in October was not materially different from the previous month. The payroll numbers in September were affected by the return of 40,000 workers following a strike at Verizon Communications (VZ). After adjusting for the strike, September employment numbers were only up by 38,000. This is within tolerances for normal monthly volatility.
In all, the employment levels are in-line with subpar/moderate GDP growth.
The workweek remained steady at 34.3 hours and hourly wages increased 0.2%.
Aggregate earnings increased 0.3% in October, roughly in-line with the average monthly gain since January. The gain in earnings is enough to support moderate consumption growth.
The unemployment rate ticked down, from 9.1% in September to 9.0% in October. The number of people who found jobs in October outgained the number of new additions to the labor force.
Private payrolls added 104,000, slightly below consensus expectations of 117,000 but in-line with the October ADP report. September private payrolls were revised up from 103,000 to 191,000.
The employment situation in October was not materially different from the previous month. The payroll numbers in September were affected by the return of 40,000 workers following a strike at Verizon Communications (VZ). After adjusting for the strike, September employment numbers were only up by 38,000. This is within tolerances for normal monthly volatility.
In all, the employment levels are in-line with subpar/moderate GDP growth.
The workweek remained steady at 34.3 hours and hourly wages increased 0.2%.
Aggregate earnings increased 0.3% in October, roughly in-line with the average monthly gain since January. The gain in earnings is enough to support moderate consumption growth.
The unemployment rate ticked down, from 9.1% in September to 9.0% in October. The number of people who found jobs in October outgained the number of new additions to the labor force.
