Fri Sep 6, 2019, 07:33 AM

U.S. economy adds just 130,000 jobs in August amid worries

Source: Washington Post

The U.S. economy added a disappointing 130,000 in August, the Labor Department said Friday, heightening fears that Trump’s trade war is starting to bite and the U.S. economy is hitting a rough patch. Economists had predicted 160,000 job gains in August. Business owners say they are struggling to find people to hire, and they are growing increasingly nervous about President Trump’s trade war. The unemployment rate remained at 3.7 percent, the lowest in nearly half a century, forcing employers to search harder for new workers.

Right now, the United States is a tale of two economies: The service sector remains strong with health care and business adding a lot of jobs in August. But industries like mining and manufacturing that depend heavily on selling items overseas are struggling. Manufacturing is already in a recession and the sector has added few jobs this year, a trend that continued in August. Mining employment fell by 6,000 jobs. Hiring in August was also boosted heavily by the U.S. government adding 25,000 temporary workers to its payrolls for the 2020 Census.

Most companies have already scaled back spending on buildings and equipment, and there is concern that they will now cease hiring, a move that could have harmful consequences to the U.S. economy since consumer spending drives so much of the U.S. economy. When Americans are fearful of losing their jobs, they tend to halt spending.

In the past three months, job gains averaged 156,000 a month, a noticeable downgrade from last year, when job gains averaged 192,000 a month. For now, Americans are spending because “we’re hiring!” signs still appear plentiful in many towns and pay is rising at many companies. Wages grew at an annual pace of 3.2 percent in August, well above inflation, although slightly slower than earlier this year.

Read more: https://www.washingtonpost.com/business/2019/09/06/us-economy-adds-just-jobs-august-amid-worries-that-trade-war-has-sunk-its-teeth-into-hiring/

Full headline: U.S. economy adds just 130,000 jobs in August amid worries that trade war has sunk its teeth into hiring

Will be updating this as info comes in and will await DU's economic analysts to add their deeper dive! TGIF!

Original article and headline -

The U.S. economy added 130,000 jobs in August, as hiring slowed sharply amid concerns that the economy is deteriorating

By Washington Post Staff
September 6 at 8:31 AM

Businesses, consumers and political leaders are watching for effects of the trade war on the economy, and the labor market's strength has been a key focus.

This is a developing story. It will be updated.

https://www.washingtonpost.com/news/business/wp/2019/09/06/the-u-s-economy-added-130000-jobs-in-august-as-hiring-slowed-sharply-amid-concerns-that-the-economy-is-deteriorating/

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25 replies	Author	Time	Post
U.S. economy adds just 130,000 jobs in August amid worries (Original post)	BumRushDaShow	Sep 2019	OP
Business investment is down	bucolic_frolic	Sep 2019	#1
Manufacturing orders have dropped a lot also, another early and clear sign	duforsure	Sep 2019	#6
I can just see it now	durablend	Sep 2019	#2
A "Service Economy" where fewer and fewer people can afford the services.	KY_EnviroGuy	Sep 2019	#3
The news this morning is also that more than 20,000 of those jobs are temporary.	Lonestarblue	Sep 2019	#4
June and July were revised down by a combined 20,000, so only 110,000 more jobs	progree	Sep 2019	#5
Thank you and good morning!	BumRushDaShow	Sep 2019	#8
The vicious cycle begins	Dopers_Greed	Sep 2019	#7
WH: "this month's job growth is nearly ten times higher than the job growth CBO had anticipated...."	mahatmakanejeeves	Sep 2019	#9
OMG	BumRushDaShow	Sep 2019	#11
August hiring boosted by 25,000 workers for the 2020 Census..?	Grins	Sep 2019	#10
Since previous months have already been revised downwards	BumRushDaShow	Sep 2019	#12
And they revised June and July downward by a combined 20,000, so we only have	progree	Sep 2019	#13
I heard awhile back that we need 250k jobs created ea. month just to keep up w/pop. growth. n/t	area51	Sep 2019	#14
Never heard a number that high.	progree	Sep 2019	#15
If Obama didn't add 250k per month he was TRASH TALKED by Republicans........	Bengus81	Sep 2019	#16
EXACTLY	BumRushDaShow	Sep 2019	#17
And 2018 and 2019 was even more anemic than 2017. (that graph only goes out to Feb 2018)	progree	Sep 2019	#19
These numbers will be revised downward.	BlueIdaho	Sep 2019	#18
+1	CountAllVotes	Sep 2019	#20
Analysis: Weaker job report in August 'cements' a Fed interest-rate cut in two weeks	mahatmakanejeeves	Sep 2019	#21
"He sees growth running at a 1.5% annual rate in the third quarter, down from a 2.5% pace"	BumRushDaShow	Sep 2019	#23
What % of those jobs are permanent with healthcare benefits?	Brainfodder	Sep 2019	#22
Links to earlier reports:	mahatmakanejeeves	Sep 2019	#24
Thank you!!	BumRushDaShow	Sep 2019	#25

Response to BumRushDaShow (Original post)

Fri Sep 6, 2019, 07:42 AM

bucolic_frolic (23,105 posts)

1. Business investment is down

Who needs to invest? We still have overcapacity from QE1-2-3 and 0% capital for 10 years.

Some people are afraid to go to the store.

Not everyone feels the strong economy.

U.S. economy adds just 130,000 jobs in August amid worries

1. Business investment is down

6. Manufacturing orders have dropped a lot also, another early and clear sign

2. I can just see it now

3. A "Service Economy" where fewer and fewer people can afford the services.

4. The news this morning is also that more than 20,000 of those jobs are temporary.

5. June and July were revised down by a combined 20,000, so only 110,000 more jobs

8. Thank you and good morning!

7. The vicious cycle begins

9. WH: "this month's job growth is nearly ten times higher than the job growth CBO had anticipated...."

11. OMG

10. August hiring boosted by 25,000 workers for the 2020 Census..?

12. Since previous months have already been revised downwards

13. And they revised June and July downward by a combined 20,000, so we only have

14. I heard awhile back that we need 250k jobs created ea. month just to keep up w/pop. growth. n/t

15. Never heard a number that high.

16. If Obama didn't add 250k per month he was TRASH TALKED by Republicans........

17. EXACTLY

19. And 2018 and 2019 was even more anemic than 2017. (that graph only goes out to Feb 2018)

18. These numbers will be revised downward.

20. +1

21. Analysis: Weaker job report in August 'cements' a Fed interest-rate cut in two weeks

23. "He sees growth running at a 1.5% annual rate in the third quarter, down from a 2.5% pace"

22. What % of those jobs are permanent with healthcare benefits?

24. Links to earlier reports:

25. Thank you!!