Menu
FM Ashkenazi meets with Cypriot FM Nikos Christodoulides

FM Ashkenazi meets with Cypriot FM …

FM Ashkenazi: Israel and ...

MFA hosts virtual conference on digital diplomacy during the corona crisis

MFA hosts virtual conference on dig…

Some 150 participants wil...

PM Netanyahu chairs Corona Cabinet meeting

PM Netanyahu chairs Corona Cabinet …

The goal of the policy is...

Israel marks Memorial Day for the fallen soldiers and victims of terrorism

Israel marks Memorial Day for the f…

Remembrance Day, Yom Hazi...

President Rivlin and FM Katz host reception for the diplomatic and consular corps in Israel

President Rivlin and FM Katz host r…

President Rivlin: Althoug...

Special Holy Fire ceremony held during the coronavirus outbreak

Special Holy Fire ceremony held dur…

The traditional Holy Fire...

PM Netanyahu addresses the ceremony marking Holocaust Martyrs' and Heroes' Remembrance Day

PM Netanyahu addresses the ceremony…

Prime Minister Benjamin N...

Holocaust Martyrs' and Heroes' Remembrance Day 20-21 April 2020

Holocaust Martyrs' and Heroes' Reme…

The official Opening Cere...

Briefing for foreign ambassadors on Coronavirus management and cooperation with the Palestinians

Briefing for foreign ambassadors on…

During the briefing, the ...

Yad L'Achim Opens Hotline for Assistance from Experienced Psychologists, Social Workers

Yad L'Achim Opens Hotline for Assis…

Confused? Under Pressure?...

Prev Next
A+ A A-
Booking.com

US Economy Adds 215K Jobs in July

Mil Arcega, VOA News


Yet more signs of an improving job market. The U.S. Labor Department says employers added 215,000 jobs last month.

That’s the third consecutive month of job gains above 200,000 following weaker than expected job growth earlier in the year. While the unemployment rate held steady at 5.3 percent, analysts say the July job gains increase pressure on the Federal Reserve to start raising interest rates soon.

As job reports go, July turned in a solid performance – with white collar jobs in retail, business services and health care leading the way.

Gad Levanon, managing director for economic outlook at the Conference Board, says that’s a good development that could ultimately lead to higher wages.

“The slack in the labor market is evaporating and we are getting to a tighter and tighter labor market which I think is good for employees, and at some point wages will accelerate. They have a better chance of finding a job that they like, so overall it's a good development," said Levanon.

Average hourly wages rose five cents from the previous month – up 2.1 percent from the same time last year. But you wouldn’t know it based on the reaction on Wall Street.

Stock prices on Wall Street slumped in early trading, but mostly because the July job numbers add pressure on the U.S. central bank to start raising interest rates. If the job gains continue next month – the Fed may have little choice – says Bankrate.com bureau chief Mark Hamrick – speaking to VOA on Skype.

"Fed officials like to talk about the fact that they are data-dependent, and, if we can hold them to their word on that, I think they will wait until the very last piece of data comes in before they decide to raise interest rates, but I do think it’s very much a possibility," said Hamrick.

Both analysts we spoke with predict an interest rate hike before the year ends.

"I think it makes it more likely that it will happen in September," said Levanon.

The Fed has kept the interest it charges other banks near zero since 2008 to bolster business and consumer spending. A September rate hike would mark the first increase in nearly a decade.

Leave a comment

Make sure you enter the (*) required information where indicated. HTML code is not allowed.

back to top

Sections

Jewish Traditions

About Us

Community

Cooperations

Follow Us