Economic Statistics for 3 Jun 16
May’s Employment Situation is very disappointing, with only 38,000 net new jobs created. Labor force participation dropped -0.2% to 62.6% as 458,000 workers left the labor force. Overall, the number of people not in the labor force grew by 664,000. These negatives are hidden, of course, by the clearly meaningless “unemployment” rate which plunged by -0.3% to 4.7%. Average hourly earnings rose 0.2%, but the average workweek fell -0.1 hours to 34.4 hours. Still, congratulations to the Bureau of Labor Statistics, who’ve managed to create a method of calculating the unemployment rate that is completely unmoored from any actual labor market condition.
The nation’s trade deficit unexpectedly narrowed to $-37.4 billion in April.
Factory orders rose 1.9% in April, due to civilian aircraft orders. Core capital goods orders actually fell a disappointing-0.6%.
The PMI Services Index fell -1.5 points to 51.3 in May, while the ISM Non-Manufacturing Index dropped -2.8 points to 52.9.