The U.S. economy posted 33 straight months of private-sector job growth and the lowest unemployment rate in four years in November, according to data released Friday by the U.S. Bureau of Labor Statistics (BLS).
The nation added 146,000 nonfarm payroll jobs in November and the national unemployment rate dropped to 7.7 percent, the lowest level since December 2008.
Friday’s employment report from the Bureau of Labor Statistics was a huge let down, in no way following the cues from Thursday’s ADP report which painted a picture of stronger national job growth.
The mere 18,000 new hires in June, following two months worth of downward revisions, has really taken the steam out of any possible rally in the employment sector, and continues to foster some mortgage rate volatility at the moment.
Unemployment picked up sharply in June from May. According to the Bureau of Labor Statistics, 467,000 nonfarm jobs were lost last month and the unemployment rate rose to 9.5%.
The fact that layoffs increased by 145,000 from May to June, after falling by 197,000 from April to May, has many analysts disappointed with June’s report, urging that the numbers indicate our economic recovery, particularly pertaining to jobs, is far off.
There’s more than one way to interpret Friday’s unemployment report. While some market observers are grimacing over the escalating unemployment rate, others are encouraged and upbeat over the abating number of layoffs and the improvement in certain sectors like construction. On the surface, May’s report could seem confusing.
Despite the loss of 345,000 jobs in May — the smallest number on record since September — the unemployment rate increased by 0.5% to 9.4%, the highest jobless rate in 26 years.
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