The overheated employment market appears to be cooling off, but probably not fast enough to demonstrate the progress the Federal Reserve wants to see in its efforts to combat inflation, still growing at an uncomfortable 8 percent annual rate.Read More
If home sales alone were an indicator of economic health, you might conclude that the economy has rebounded smartly from the pandemic-induced recession and is on a path for steady growth.
If timing is everything, the June employment report is a lot less encouraging than it appeared to be.
Economists often miss the mark, but they rarely miss it by as much as they did with their employment forecasts for June.
The consensus forecast anticipated a loss of more than 7 million jobs on top of the stomach-churning 20.5 million positions shed in April. Instead, employers added more than 2.5 million jobs, reducing the unemployment rate to 13.3 percent, down from April’s 14.7 percent and well below the 19 percent rate analysts had feared.