In June, the unemployment in US fell to 7 years low

03.07.2015

Unemployment in the US, in June 2015, fell from 5.5% to 5.3% - the lowest level since April 2008, according to data of the Ministry of Labor of the country. The analysts forecasted a less significant decline - to 5.4%.

The number of jobs in the US economy increased in June by 223 thousand. Experts interviewed by Bloomberg, on average, expected the figure to 233 thousand.

According to revised data, in May, the number of jobs increased by 254 thousand, and not by 280 thousand, as previously reported. Review of the data for April-May robbed the economy 60 thousand jobs.

The average hourly wage in the US in the last month has not changed compared to May, with a growth forecast of 0.2%. In annual terms, the rise amounted to 2% instead of the expected 2.3%. Rising of wages is one of the most important labor market indicators that the Fed is studying, trying to determine the period of transition to the normalization of monetary policy.

The US Department of Labor published the data on the labor market on Thursday, shifting the publication of the report on unemployment from Friday in connection with the celebration of Independence Day.

"Low data for one month does not undermine our optimism, - said a senior economist at Moody's Analytics Inc., Ryan Sweet. – There is still much to be done on the labor market, but we are seeing a progress."

Despite a slight slowdown, the growth rate of jobs for the third month in a row surely exceed 200 thousand, a mark which economists consider necessary to compensate the population growth without increasing unemployment. Until March, the figure was above this level for exactly one year, which was the longest such period since March 1995.

The number of jobs in the private sector last month jumped by 223 thousand, after rising to 250 thousand in the previous month; there was expected a rise with 225 thousand. The number of civil servants has not changed.

The US manufacturing sector came with more 4000 new jobs. The service sector recorded a rise of 222 thousand.

Retailers added 32.9 thousand jobs. Hospitality and entertainment attracted 22 thousand new permanent employees.

The average workweek in June remained at 34.5 hours, as it has been expected.

Share of the population in the labor force fell from 62.9% to 62.6%, though changes were not anticipated; these data may partly explain the reduction of the unemployment rate.

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