US Employment Picture Continues to Brighten
Weekly applications for US unemployment benefits came in this morning at 302,000. Over the past three weeks, applications have averaged 307,000 which compares favorably to weekly averages seen in the 1st quarter (329,000) and 2nd quarter (315,000). The decline in weekly applications suggests that the number of jobs created in July should be strong, even when compared to the impressive 288,000 jobs added in June. At present, the national unemployment rate sits at 6.1% which is a five year low - compare this data to the last three summers - 2013 (7.6%), 2012 (8.2%) and 2011 (9.1%) and we can acknowledge that job recovery is again on solid footing.
Though unemployment continues to fall, wage growth remains flat and the labor participation rate (in the key 25-54 year old group) continues to fall from a pre-recession level of 83.5% to 80.8%. Interpreting the signals from the domestic job market is difficult, however, all agree that a growing, more productive and better paid work force is a primary driver of GDP growth.
http://finance.yahoo.com/news/us-employment-aid-applications-drop-302-00...
