Temporary uplifting jobs

5 October 2007 By Ian Campbell

Last month, the US economy was reported to have lost jobs. But now that has been revised to modest gain. So is it time to relax on US growth? Not really. The quality of the new jobs is low and the full effect of the housing slump on household finances has not yet been felt.

This content is for Subscribers only

Context News

The US Labor Department reported Friday that employers added 110,000 new jobs in September, the biggest gain since May. The Labor Department also revised August's 4,000 drop in payrolls to a gain of 89,000.

In July and August, the number of jobs added was revised upward by 118,000 to a total of 182,000. Approximately half, 94,000, of these jobs were in the public sector and 109,000 jobs were created in education and health. The number of manufacturing jobs fell by 63,000 in the past two months, and the number of construction jobs by 36,000. Average hourly wages rose by a slightly higher than expected 0.4%.

According to the separate household survey the unemployment rate was 4.7%. A year earlier it was 4.6%.

The US Federal Reserve cut its overnight interest rate by half of one percent on September 18 to 4.75%.

Email a friend

Please complete the form below.

Required fields *