The U.S. economy added 4.8 million jobs in June, according to data released Thursday by the Labor Department, as the gradual easing of coronavirus-related restrictions helped more businesses reopen and bring back workers.
The unemployment rate also fell to 11.1 percent last month, according to the report, as more workers who were laid off earlier this year were able to return to their pre-pandemic jobs.
Economists expected the U.S. to add anywhere between 1 million and 3 million jobs for the month after the U.S. added 2.7 million in May, according to revised figures, despite widespread predictions of another decline.
It’s a cash cliff millions of Americans face this summer as the emergency benefits — which lifted U.S. consumer incomes by a record 10.8% in April — expire. The loss of that safety net looms in the weeks ahead, well before a sustained recovery is likely to take hold from the sudden and deep recession brought on by the novel coronavirus. Personal income dropped 4.2% in May, data Friday showed.
The $600 supplement Congress added to weekly unemployment benefits is due to expire July 31.
Without new support, recipients face a substantial loss of income – particularly devastating for those like the Ramirez family who worked in hard-hit sectors like hospitality where new jobs are scarce. During high unemployment and a still-raging pandemic, the end of enhanced jobless benefits could drag on consumer spending, set off a wave of missed rent and mortgage payments and translate to a slower recovery, economists said.
Stocks fell for a second day on Thursday following the release of disappointing unemployment data while traders grappled with a rising number of coronavirus cases. The Dow Jones Industrial Average traded 200 points lower, or 0.8%. The S&P 500 slid 0.7% while the Nasdaq Composite dropped 0.8%. An additional 1.48 million Americans filed for unemployment benefits last week, the Labor Department said. Economists polled by Dow Jones expected a print of 1.35 million. This marks the second straight week that U.S. jobless claims data were worse than expected.
“No matter which way you look at it, over a million unemployed is a very bad thing,” said Mike Loewengart, managing director of investment strategy at E-Trade. “It will take some time to unwind the structural damage COVID has caused across the world.”
“While it’s certainly uncomfortable, the everyday investor should be used to ongoing market volatility at this point,” Loewengart said.
Top economists are warning lawmakers not to get transfixed by seemingly rosy data showing the economy finding its legs following the coronavirus pandemic. The recovery remains wobbly — and may get worse as some of the bailout funds expire.
Reports out Tuesday showed retail sales in May and home builder sentiment in June rebounded surprisingly sharply, helping power a stock market rally that pushed the S&P 500 up 2 percent.
But as traders bought on that news, Federal Reserve Chair Jerome Powell was urging senators not to grow complacent. “Significant uncertainty remains about the timing and strength of the recovery,” he said in virtual testimony before the Senate Banking Committee. “Until the public is confident that the disease is contained, a full recovery is unlikely.”
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1,619,495, up from 1,502,618 yesterday.
97,200 deaths, up from 89,915 yesterday.
Learn how to turn your hobbies into hustles – check out Gig Economics.
Editorial: Trump’s press briefings are getting a lot of criticism. Some say the networks should stop airing them, as they’re full of lies and bad information.
Others say that Trump should let the experts do most of the talking.
Nobody–but NOBODY–is saying they’re right on the money.
He has a problem. But it’s hard to say whether his bungling of everything related to the COVID-19 outbreak will have an effect on the 2020 presidential election (if it even happens).
“Get Rhythm” by Johnny Cash. This one is more feel good for me because it’s personal. I grew up listening to Cash, Waylon, Charlie Pride, Barbara Mandrell, and other “old country” performers.
This one hits me in the heart because, as most country songs, it tells a story about a boy who has a shitty job but does it with gusto and is proud of his work.
You CAN have a crummy job and still do your best, take pride in your work, and go home happy.
A Florida Woman placed plastic Easter eggs stuffed with pornographic images and other items in the mailboxes of scores of homeowners, according to cops who say they collared the “deranged offender” last night.Investigators allege that Abril Cestoni, 42, delivered the X-rated material over the past several days, resulting in her arrest on 11 counts of distributing obscene items.
Cestoni, who said she works at a Publix supermarket, is being held in the Flagler County jail in lieu of $13,000 bond.
A charging affidavit alleges that Cestoni, seen above, stuffed mailboxes with Easter eggs and a pamphlet containing “incoherent rants about local religious clergy” and “multiple pornographic images.”
One orange Easter egg, cops say, contained “1 goldfish cracker, 1 strawberry drink mix, 1 piece of toilet paper, and 2 pornographic images.”
Sponsored by the Drive Thru Jesus Show.