August Jobs Report Better Than It Looks As Investors Eye Possible Fed Rate Hike
SAN FRANCISCO (KCBS) - Investors are giving the thumbs down to the August jobs report, which came in with a weaker than expected gain of 173,000 jobs.
However, Labor also made significant upward revisions to June and July, so in the end, the report was in line with forecasts.
Wages were up slightly and the unemployment rate fell to a seven year low and, unlike in the past when drops in the jobless rate was an indicator of fewer people looking for work, the labor force participation rate stayed flat in August.
Gains were made across most industries, with manufacturing a notable disappointment,
Analysts have said that it would've taken a big beat on the jobs report to compel the Fed to raise rates later this month, something that a growing number of investors are looking forward to, as the uncertainty as to when that will happen is starting to gnaw away at confidence in the market.
