US non-farm payroll disappoints in July, a September rate-cut in focus


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US non-farm payroll disappoints in July, a September rate-cut in focus

An upsurge in the US labor market seems to be running out of steam during beginning of second half of the year amid economic slowdown, as US Labor Department had revealed another set of disappointing data on Friday, the 2nd of August 2019, while tempestuous figures of non-farm payroll and private sector payroll had rekindled hopes for another interest cut as early as by next September following Trump’s latest China tariff hike, an erratic move which would barely support United States’ slowing economy.

According to Friday’s (August 2nd) US Labor Department data, US economy added 1,64,000 new non-farm jobs in July, down from 1,95,000 a month earlier, while private sectors added 1,48,000 new jobs, down from 1,79,000 in June, while reiterating impacts of a global-scale slowdown, a Commerzbank economist Christoph Balz said, “The economic slowdown leaves a mark on the US labor market”.

Meanwhile, manufacturing payroll data may have brightened the outlook, but a falling average working hour for all employees in the United States had triggered questions on whether a so-called revolution in US labor market would have been an eye-wash, while industries were hiring more workers, but paying them less and slashing their working hours to distribute a much-moderated, but even money flow across the United States, helping US economy to cheer over a 50-year-low unemployment figure based on a bundle of crooked data.