Despite Shutdown, Jobs Went Up In January

03 February, 2019, 17:45 | Author: Brooke Harris
  • Enlarge this image

The U.S. has been experiencing the longest streak of job gains on record.

Don't see the graphic above?

Private economists had expected an increase of about 170,000 jobs and the unemployment rate to be unchanged.

While the new jobs report was higher than expected, the jobs report for December was adjusted down by 70,000 jobs from 312,000 jobs created that month to 222,000.

Employment in construction and health care followed with 52,000 and 42,000 new jobs respectively. The nonpartisan Congressional Budget Office estimates that the shutdown slowed annual growth for the January-March quarter by about 0.4 percentage point, to a rate of 2.1 percent, though that loss should lead to a bounce-back later this year. Average hourly earnings grew 3.2 percent over the past 12 months - matching December's increase. Workers earned an average of $27.56 an hour last month. The economy added 304,000 jobs in January despite some economic concerns and the federal government shutdown. Also worth noting was that the more than 300,000 federal workers who were furloughed had an impact on the reporting. Those workers were counted as employed, the Bureau of Labor Statistics said.

Diane Swonk, chief economist at Grant Thornton, said that many federal workers and contractors likely went out and found part-time work during the 35-day shutdown.

"The Fed chickened out on further rate hikes this year and boy are they ever misreading the tea leaves on where the economy is going next", said Chris Rupkey, chief economist at MUFG in NY. The rate hit a 49-year low of 3.7 percent in September and remained unchanged in October and November.

Last month's healthy job gain will assuage some concerns that had arisen about the USA economy. But thousands of government workers who missed two paychecks also cut back on their spending.

The American economy added 304,000 jobs in January.

MARTIN: What do these numbers show?

Murray rues Ireland's slow start in England defeat
Former England scrum half Lee Dickson analyses Saturday's win against Ireland and picks out his standout England play . I don't want to get too excited just yet, and now this game is over it is how you build on it.

The unemployment rate rose to 4.0% in January, but the BLS pointed out that rise from 3.9% was due to the government shutdown.

Another 450,000 federal employees were required to work during the shutdown without pay.

NOGUCHI: Yeah, it's a little confusing. It didn't affect the numbers because of some technicalities of who the government considered unemployed in January. So there are two separate surveys. One of them is the payroll survey, which measures hiring.

Yet even employers whose revenue dropped likely held onto their workers during January.

NOGUCHI: It did have an effect but a small one. They were not included in the unemployment rate, either.

How did the shutdown change the jobs report?

The federal government itself also spent less. And some of them were laid off. But then, you know, Rachel, the overall context is that unemployment is still very low.

Job seekers fill out applications at a job fair at the Denver Workforce Center in Denver, Colo., on February 15, 2017.

Wall Street breathed a sigh of relief this month as policymakers sent strong signals they meant to pause, meaning investors could be in for an unwelcome surprise.

"This is the sweet spot for investors right now", Long said.

On a monthly basis, from December to January, wages barely rose, though.

Recommended:

  • Microsoft Windows 10 April 2019 Update Makes Error Messages Actually Useful

    Microsoft Windows 10 April 2019 Update Makes Error Messages Actually Useful

    According to several user forums, Windows users in the United States and UK are facing Windows Update issues. Once you change the setting to Google's public DNS, head back to Windows Update and check for updates.

    Brisbane Airport Evacuated Overnight As Police Subdue Knife-Wielding Man

    The airport has been evacuated and trains have stopped after police declared an emergency situation about 10.15pm on Saturday. Police have established an exclusion zone surrounding the carpark and have evacuated nearby hotels, bars and establishments.
    May Sets Out to Win Labour Rebels' Support Over Brexit Deal

    May Sets Out to Win Labour Rebels' Support Over Brexit Deal

    The vote was not legally binding, but has political force as an expression of the will of Parliament. However, the deal was rejected by lawmakers with a majority of 230 votes in a January 15 vote.
  • Largest drug bust in history made as truck tries crossing southern border

    Largest drug bust in history made as truck tries crossing southern border

    Fentanyl has caused a surge in fatal overdoses around the U.S. , including the 2016 accidental death of pop music legend Prince. Authorities say illicit fentanyl in recent years has become the biggest source of fatal overdoses in the United States.
    MIT creates Jenga-playing robot

    MIT creates Jenga-playing robot

    By breaking the tower down into clusters it can create a physical model of the world in about 300 block pushes. The researchers published their findings in the latest issue of Science Robotics .
    'Fortnite': How to Complete the 'Sundial, Oversized Coffee, and Dog Head' Challenge

    'Fortnite': How to Complete the 'Sundial, Oversized Coffee, and Dog Head' Challenge

    As you can see from the map above, you'll be dancing your way across the island from south to north to complete this challenge. Simply make your way to the vehicle park of Dusty Diner, and you'll spot the Oversized Cup of Coffee on the east side here.
  • Gigantic Hole Two-Thirds The Size Of Manhattan Found In Antarctica Glacier

    Gigantic Hole Two-Thirds The Size Of Manhattan Found In Antarctica Glacier

    The glacier has retreated at a steady rate of about 0.4 to 0.5 miles (0.6 to 0.8 km) annually since 1992, the researchers found. With climate change likely to continue accelerating this melt, the implications for global sea level rise are considerable.
    More rallies in Venezuela in support of Juan Guaido

    More rallies in Venezuela in support of Juan Guaido

    By noon, pro-government marchers could be seen gathering at street corners in the centre of the city. But it is unclear how much concrete military backing there is for Guaido.
    China's factory activity shrinks in January

    China's factory activity shrinks in January

    ANALYST'S TAKE: "The bad decline in the Caixin PMI index. shows just how important it is for China and the U.S.to secure a trade deal".
  • Nissan cancels plans to build X-Trail in United Kingdom  ahead of Brexit

    Nissan cancels plans to build X-Trail in United Kingdom ahead of Brexit

    He said: "Twenty years ago we had these awful , blood-curdling threats about Nissan in Sunderland if we didn't join the Euro". In 2016 the carmaker said it would build the new vehicle in the United Kingdom after "assurances" from the government.
    Amazon and Walmart get caught in India's web

    Amazon and Walmart get caught in India's web

    Existing regulations state that e-commerce firms can not exercise ownership over the goods sold on their online marketplace. Clothing from Indian department store chain Shopper's Stop was also no longer available, as Amazon owns 5% of the company.
    Arenado, Rockies Agree At $26M, Most Ever For Arb Eligible

    Arenado, Rockies Agree At $26M, Most Ever For Arb Eligible

    The avoidance of a hearing can be taken as a positive sign as the Rockies hope to lock Arenado down to a long-term deal. A Rockies spokesperson said in the release the team had agreed to contracts with all eight arbitration-eligible players.


Popular

How to Search a Showtime Poster — Fortnite Showtime Challenges
Was it the best event that Epic Games has done so far? Either way, the winning team donated the $1 million in winnings to charity. Previous data mining from patch v7.20 uncovered a secret Marshmello music video, which will presumably debut with his concert.

Super Bowl 53: Gurley, Michel in 'perfect' spots
Gurley beat Gronkowski 21-6 in a Madden NFL 19 Super Bowl 53 preview as part of Xbox Sessions: Game Before The Game. Anderson, a seven-year pro, was acquired by the Rams on December 18 after an injury to starting RB Todd Gurley .

Zooming in on NGC 6752 and Bedin 1
The Hubble Space Telescope has just captured a new dwarf galaxy which is 30 million light-years away from the Milky Way . Relative to other galaxies in the universe, NASA says that Bedin 1 is essentially in our planet's own "cosmic backyard".

'Alexa was very busy': Amazon reports record profits and strong holiday season
The company had little need to splurge in 2018 thanks to prior spending on warehouses, headcount and other areas, boosting profit. For the fourth quarter, Amazon North America delivered more operating income than AWS-$2.25 billion to $2.18 billion.

Marmite owner Unilever faces challenging 2019 with tough 'sales growth'
Excluding the spreads business which Unilever sold past year , revenue was 49.6 billion euros, down 2.3 percent. Underlying sales grew by 2.9% in 2018 from the year earlier and, excluding the spreads business, by 3.1%.

Barcelona's Lionel Messi faces fitness race ahead of Copa Clasico
The Blaugrana did on Saturday, and thanks to Lionel Messi , it wasn't worse. " Valencia started really well but after that we were in control of the game", Valverde said.

Overwatch Paris Map "Coming Soon", in Time For Valentine's Day
Paris begins in a cabaret, and from there, you'll be battling your way down artisanal alleyways and the banks of the Seine. Depending on what side of the fence you are put on, you'll be tasked with either attacking or defending points on the map.

TSA agent falls to his death at Orlando Airport causing delays, confusion
TSA officials later said that, as a result of the confusion, "several passengers scattered into the sterile area unscreened". The TSA offered its condolences to the man's family, according to their statement .

Rohit Sharma Opts To Bat Against New Zealand In..
Stop us if you have heard this before: India's middle order is not the most confidence-inspiring part of the ODI team. After losing the first three games, the hosts won the fourth game by 8 wickets to get back to winning ways.

Government asks USA for list of detained students
It is the second such case when the Department of Homeland Security has used a fake university to unearth a fake student visa racket.