US Employment Jumps More Than Expected In August

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This is the 95th straight month that US employers have added jobs, according to Dow Jones.

The U.S. economy added 201,000 jobs in August while the unemployment rate remained at 3.9 percent, according to data released Friday by the Bureau of Labor Statistics.

The expected gain for August would be a solid one, though below the average increase over the previous six months of 220,000 jobs.

Job growth remained steady last month, and the economy has now added jobs for 95 consecutive months. In the 19 full months preceding Trump's presidency - July 2015 to January 2017 - the economy created 3.96 million jobs.

Construction companies hired 23,000 more workers last month after increasing payrolls by 18,000 jobs in July.

Stock markets opened slightly lower on Friday, with the higher-than-expected wage growth creating some fear of additional interest-rate hikes from the Federal Reserve.

This developing report will be updated. The year-over-year increase was 2.8 percent in July of 2016.

The Trump administration has imposed tariffs on imported steel and aluminum as well as on $50 billion of goods from China.

August's job creation figure was higher than July's downwardly revised total of 147,000.

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Friday's August jobs report from the government also showed that paychecks are growing faster.

A broader measure of unemployment, which includes people who want to work but have given up searching and those working part-time because they can not find full-time employment, fell one-tenth of a percentage point to 7.4 percent, the lowest level since April 2001. The tariffs on an additional $467 billion would raise duties on virtually all US imports from China.

Americans had until Thursday to comment on a list of $200 billion worth of Chinese goods widely expected to be hit with tariffs soon.

Manufacturing shed 3,000 jobs in August, its worst showing in more than a year. That includes people who are unemployed, working a part-time job when they want a full-time job, or have dropped out of the labor force because they have become discouraged.

"This should prove transitory as autos manufacturing payrolls tend to be noisy over the summer months as companies shut down production to retool for the next year's models, making seasonal adjustment factors less precise", said Joseph Song, an economist at Bank of America Merrill Lynch in NY. That said, this year's tally is still short of the totals from the first seven months of 2014 (1.9 million) and 2015 (1.75 million).

Trade tensions also could have dented business confidence and dampened hiring last month, Goldman Sachs says.

"While the pace of employment growth disappointed in July, all indicators suggest hiring ramped back up towards trend in August", said Sam Bullard, senior economist a Wells Fargo.

USA businesses added 204,000 jobs while federal, state and local governments lost 3,000.

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