The pace of job creation in the united States slowed in November to 155.000 new busy. The unemployment rate, however, remained at 3.7%. The indicator thus gives arguments for the Federal Reserve to rise again interest rates this month. However, it also makes sense to be less aggressive in the standardization process, in order not to slow down too much the economy. All the options of monetary policy are, in this moment, open.
The data is below what was expected, which had the creation of 190,000 jobs in November. Hiring in the two previous months was also lower than expected. Wages, meanwhile, rose to an annual rate of 3.1%, as in last October, which was considered as the biggest annual increase since the last recession. In terms of the participation rate is at 62.9%.
A lack of published data of December, the creation of employment in the united STATES exceeded already 2,18 million employed registered in the year 2017, and even almost all of the 2.34 million in 2016. The unemployment rate, meanwhile, is stable for three months at its lowest level since the Vietnam war five decades ago. The labour market, therefore, continues to move forward with strength.
And that despite the fact that the Fed pointed out this week in its Beige Book that companies have trouble finding the employees they need to fill the vacancies. It is not the only factor that plays Bahis Siteleri against it. The trust “wanes” for the impact of tariffs on the costs and their negative effect spans all sectors, from industry to the trade and the restoration.
The term tariff is cited on 39 occasions, in the report of the central bank american. The companies point out that they can absorb part of the costs, to avoid that the consumers are cast back if they are further away. But there are others that begin to raise prices in anticipation of higher tariffs. On the set of the economy, calls it a “modest” growth at the start of the fourth quarter
The effect of ballast on the economic activity of the trade conflict between the US and China is a factor of concern among the investors, which is creating volatility in the markets throughout the world. Also the rise of interest rates. It is expected that the Fed the rise again this month even though its chairman, Jerome Powell, said last week that the price of money would be close to a neutral level.
Powell reiterated, in addition, that there is a pre-established plan, and your strategy will depend on the evolution of the data. The rates rose in the united STATES each quarter during the last two years. This rate, therefore, may change during the course of 2019. The containment of inflation, as pointed out by some members of the central bank, allows you to be more patient for analysis of where the economy goes.
