The job numbers in US for August were better than expected. Although the economy has lost 54 000 jobs, economists expected more-121 000. Promising is the plus of jobs in private sector, especially.

Although the economy has lost jobs for the third month in the row again, 54 000 is a bearable number. The number seems to be a positive surprise because it includes also the planned loss of 114,000 temporary employees hired by government to work on Census, whose contract expired in August. This loss was offset by the private sector, which added 67,000 jobs. This was 23 000 jobs more than the economists have expected.

The unexpected higher plus in the private sector is meaning, that the US economy has a potential for growth, because especially the private sector is seen as crucial regarding of economic recovery. Therefore, it is for sure better to see some job losses in the government sector than it would be to experience the same job losses in the private sector. The manufacturing sector employment fell by 27,000 jobs, but the employment in the healthcare sector rose by 28,000 jobs. The jobs in construction and mining sector also rose.

Therefore, it is not possible to over value the fact that the unemployment rate grew to 9.6%, from 9.5% in July. It seems, that Wall Street did expected this raise of unemployment rate and that the plus in private sector was praised. All the main 3 indicators experienced a growth.

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Photo: ISIFA