Posted on 03/09/2007 2:10:39 PM PST by MinorityRepublican
U.S. payrolls expanded last month at their slowest pace in two years as a steep drop in construction payrolls offset strength in the service sector.
However, employment in previous months was revised higher, the unemployment rate fell and hourly wages posted a strong gain, suggesting that the economy remains in solid shape despite a recent spate of weak data. The jobs figures should dampen expectations of any Federal Reserve rate cut in the near term. Fed funds futures contracts have recently priced in a rate cut as early as the second quarter.
A separate report showed the U.S. trade deficit shrank in January as exports of airplanes and computers rose while the nation purchased a lower amount of foreign-made consumer goods and cars. Third report showed U.S. wholesale inventories unexpectedly rose in January as demand tumbled.
Nonfarm payrolls increased 97,000 in February after growing an upwardly revised 146,000 in January and 226,000 in December, the Labor Department said Friday. Last month's gain was the slowest since January 2005. Previous reports showed job growth of 111,000 in January and 206,000 in December.
The unemployment rate fell 0.1 point last month to 4.5%. Average hourly earnings increased six cents, or 0.4%, to $17.16. That was up 4.1% from a year earlier.
The February payroll gain was in line with Wall Street expectations of a 100,000 rise. Other parts of the report were stronger than expected, however. Economists had expected a 4.6% unemployment rate and 0.3% rise in wages.
The jobs data should ease fears that recent soft patch in data will turn into a more pronounced downturn. Gross domestic product grew just 2.2% during the fourth quarter, and recent data have pointed to similar sub par growth in first quarter as well. Durable-goods orders slumped in January, as did new home sales.
(Excerpt) Read more at online.wsj.com ...
worst..economy..ever (/sarc)
I am sure that ABC, NBC, CBS and CSPAN will make sure this story tops their list of things to report../sarc
Meadow Muffin
Must be all those illegal aliens taking jobs Americans won't.
The MSM just never lets up. Notice how, when they had to report some good news, the headline writer "slips" in a word usually associated with bad news.
Those letters, what are they English?
It is actually lower then nearly ALL of the last 35 YEARS!
President Bush have done a lot of good for this country but he's not communicating enough on the great economy that we have.
The rate for unemployment in Michigan is 7%! Buy American cars!
The rate for unemployment in Michigan is 7%! Buy American cars!
Back when ? As in this morning ?
Could it be that enough ILLEGAL aliens working as W-2 employees have "deported" themselves and citizens and established immigrants are getting jobs?
CIS, Pew Hispanic Center, Northeastern University released studies that I've seen stated that hundreds of thousands (I forgot the total but it was well over a million) ILLEGAL aliens have taken W-2 jobs since 2000.
If so that might also explain the increased wage as (ugh) legal residents are paid more?
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