Washington (Archyde.com)
Data released by the US Department of Labor yesterday showed that employers employed a little more than expected during the month of August, despite the unemployment rate rising to 3.7 percent.
The closely watched ministry report showed that the number of non-farm payrolls increased by 315,000 jobs last month. July’s data was slightly revised to show jobs increased by 526 thousand, rather than 528,000 as in previous data.
This represented a twentieth straight month of job growth.
The jobs report comes a week following Federal Reserve Chairman Jerome Powell warned Americans of a painful period of slowing economic growth and the possibility of rising unemployment, while the US central bank is tightening monetary policy sharply to curb inflation.
The strong job growth last month was further evidence that the economy continues to grow even as GDP contracted in the first half of the year, and another indication that the Federal Reserve still needs to revive the labor market.
Consumer price data for August, which is expected to be published in the middle of the month, will be a key factor in determining the new interest rate.