'4% Is Broken!' - Donald Trump Celebrates Low Unemployment Numbers

Donald Trump

Donald Trump

The March total of jobs added was revised down from 241,000 to 228,000. February's increase was trimmed to 324,000 from 326,000. While there has been some fragmentary evidence that employers are starting to raise wages because of the tight labor market, it isn't yet clear that there is some overwhelming trend toward workers fully sharing the benefits of an improving economy.

The U.S. unemployment rate fell below 4 percent in April - the lowest it's been since December 2000.

In all, the number of people receiving aid dropped 77,000 to 1.26 million after April 21.

The unemployment for women dropped to 3.5 percent in April, while the jobless rates for men, teens, whites, blacks, Asians and Hispanics remained unchanged. However, hiring in April fell short of the projected 192,000 jobs added, according to economists surveyed by Reuters.

Treasury yields dipped and the dollar fluctuated following the report. Average hourly earnings for private-sector workers rose only 0.1 percent, and they have been up 2.6 percent over the past year.

Average hourly earnings rose by 4 cents, settling at $26.84. The increase in people earning paychecks has bolstered demand for housing, even though fewer properties are being listed for sale. Consumer prices rose at a year-over-year pace of 2.4 percent in March, the sharpest annual increase in 12 months.

Household disposable income increased at a rate of 3.4 percent in the first quarter, accelerating from the fourth quarter's 1.1 percent pace.

Economists interpreted symmetric to mean policymakers would not be too anxious with inflation overshooting the target. The Fed hiked rates in March and has forecast at least two more increases for this year.

The US unemployment rate dropped to 3.9%.

That pushed down the participation rate, or share of working-age people in the labor force.

There's good reason to expect a further pickup in wage growth in coming months. "The standard traditional measures like the unemployment rate, we're not at an all-time low of course, but we're very close to it". (The record to beat: nine months.) The streak defied the expectations of economists, who said the nation's prolonged hiring blitz - an average of 202,000 new positions each month in 2018 - was bound to drive the figure down. Heavy and civil engineering jobs, however, declined by 3,400 over the month.

"Despite rising trade tensions, more volatile financial markets, and poor weather, businesses are adding a robust more than 200,000 jobs per month".

Employers in April added 164,000 jobs, up slightly from March's 103,000, which was the smallest increase since last fall. The Dow Jones industrial average, S&P 500 index and Nasdaq composite opened moderately lower after the jobs data, but the major market indexes staged a midmorning rally, fueled by Apple (AAPL).

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