Leading up to this report, we’ve seen disappointing ADP Employment report and higher than expected initial jobless claims, leaving little hopes of optimism for this release.
The economy added 244,000 new jobs, even as the unemployment rate crept back up to 9.0% in the month of April.
While the economy is still expanding, the pace of growth has slipped in recent months. Higher food and energy costs have pinched consumer spending and has contributed to the slowdown in overall growth. If this persists, slower growth expectations may restrain hiring. Nonetheless, the overall trend in job creation remains positive.
The recent improvement in the pace of job creation notwithstanding, the high jobless rate reflects remains a weak spot for the economy and the consumer’s psyche.
While economic growth has slowed, there appears to still be sufficient positive momentum to continue to drive job creation in the near term.
To see news coverage featuring Jim’s comments, please visit the following site: