The jobs and wages report is out for January and apparently the numbers are better than expect, with wages rising the fastest since 2009 and the unemployment rate staying a 4.1%, the lowest since 2,000.
JUST IN: U.S. added 200,000 jobs in January; Wages rise most since 2009 https://t.co/s7T5KwzbAO pic.twitter.com/PHUO8Mv4yv
— Bloomberg (@business) February 2, 2018
U.S. hiring picked up in January and wages rose at the fastest annual pace since the recession ended, as the economy’s steady move toward full employment extended into 2018.
Nonfarm payrolls rose 200,000 — compared with the median estimate of economists for a 180,000 increase — after an upwardly revised 160,000 advance, Labor Department figures showed Friday. The jobless rate held at 4.1 percent, matching the lowest since 2000, while average hourly earnings rose a more-than-expected 2.9 percent from a year earlier, the most since June 2009.
The report puts the nation closer to maximum employment — one of the goals of the Federal Reserve — and sets a solid tone for hiring this year following continued gains in payrolls in 2017. That could be starting to generate a long-awaited, sustained pickup in wages and boost demand in this expansion, which may also get a lift this year from tax-cut legislation signed by President Donald Trump in December.
“The positive momentum in hiring remained intact at the start of the year,” Sam Bullard, senior economist at Wells Fargo Securities LLC, wrote in a note before the report. “The strength of the broader economy and the labor market has drawn in more people into the labor force, which is encouraging for further hiring gains.”
As CNBC reports, the numbers come after a disappointment Christmas season:
The numbers come amid an expected acceleration in growth for the U.S. economy. The Atlanta Federal Reserve is expecting a GDP gain of 5.4 percent in the first quarter, which would be the best increase since the recovery began in mid-2009.
The report comes after a disappointing 160,000 in December (revised up from 148,000) and two days after ADP said private payrolls increased by 234,000. The November gain of 252,000 was cut from 252,000 to 216,000, making the net from the two revisions minus-24,000.
It’s good to see things on an upswing and I hope this is only the beginning. 200k sounds a good number for January and with the tax bill having just passed, expectations will be high going forward.
I’m sure Trump’s ego will be tweeting about the before too long, probably suggesting that it’s the greatest January in the history of the universe or something.