The July jobs report is out, and it is terrible news for the Harris-Biden leadership. According to the report, there was a crisis that was triggered by the United States ‘ job growth that was far behind what was anticipated.
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” The poverty rate rose by 0.2 percent point to 4.3 percent in July, and the number of unemployed people increased by 352, 000 to 7.2 million. These methods are higher than a month earlier, when the jobless rate was 3.5 percent, and the number of unemployed people was 5.9 million”, reports the Bureau of Labor Statistics. Since October 2021, the poverty rate has reached its highest level.
Unemployment rates increased for adult men and whites, reaching 4.0 % and 3.8 %, respectively, while rates for other major worker groups, including adult women, teenagers, blacks, Asians, and Hispanics, remained largely unchanged. Temporary cuts surged by 249, 000, hitting 1.1 million, though permanent work loss held steady at 1.7 million. Long-term employment stayed at 1.5 million, away from 1.2 million last year, accounting for 21.6 % of the destitute.
July saw a modest improvement of 114, 000 nonfarm pay work, falling considerably short of the 215, 000 monthly common over the last year. Important sectors like health care, design, transportation, and logistics managed reasonable gains, but the data field suffered a substantial loss of 20, 000 jobs. However, adjustments to May and June work images revealed a net decrease of 29, 000 work from previous reports.
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Flashback: June Jobs Report Shows That the U. S. Is Nearby to Crisis
The fact that we essentially have entered a recession, as stated by the rule named for analyst Claudia Sahm is perhaps the biggest news from the employment report. The” Sahm Recession Indicator” indicates the start of a recession, according to the Federal Reserve Bank of St. Lous, when the U3’s three-month moving average increases by at least 0.50 percentage points in relation to the maximum of the three-month statistics from the past 12 months.
It’s 0.53 portion items today.
Pleasant to the Harris-Biden Recession.
The Sahm Rule Recession Indicator indicates the start of a downturn. photograph. twitter.com/G3Ftnuk8lg
— Matt Margolis ( @mattmargolis ) August 2, 2024
” The Sahm Rule has been triggered before every U. S. crisis since the 1970s”, notes a statement from Barron’s. “Economist Claudia Sahm, the father of the signal, has noted, however, that this moment could be various. The rise in unemployment rate is not attributable to layoffs and weak quarterly payrolls, but rather to a higher supply of workers as getting progressed.
Due to fears about the economy, the Dow fell almost 500 points on Thursday.
Stocks sold out Thursday, with the Dow Jones Industrial Average tumbling almost 500 factors, as investors ‘ fears over a crisis surfaced.
The Dow dropped 494 points, or 1.2 %. The S&, P 500 shed 1.4 %, while the Nasdaq Composite slipped 2.3 %. The Russell 2000 score, the small-cap standard that has rallied recently, dropped 3 %.
The possibility of an economic downturn and the idea that the Federal Reserve might not be able to begin cutting interest rates were raised by recent information.
Since August 2023, the first homeless states have increased the most. And the ISM manufacturing index, a barometer of factory activity in the U. S., came in at 46.8 %, worse than expected and a sign of economic contraction.
For the first time since February, the 10-year Treasury yield dropped below 4 %, indicating that more buyers were looking for safe-haven resources.
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Make no mistake: This is terrible news for the country and for the Harris-Biden leadership.
