Ugly, Ugly Jobs Number

“This is a double dip recession,” said Wall Street Journal writer Steve Moore after this morning’s monthly unemployment and jobs number was announced. Zero jobs were created and the unemployment rate stayed stuck (miraculously?) at 9.1%. But it was even worse as the July jobs number was revised downward by about half and June’s went down, too.

The market had expected private firms to have created 105,000 jobs; instead it was a meager 17,000. Government jobs and jobs in manufacturing plunged, offsetting this slight gain.

It gets worse. If you subtract the birth/death adjustment, you have a negative Non Farm Payrolls number. Underemployment was pegged at 16.2%, although Gallup yesterday found it to be 18.5%. Hourly earnings declined, too, by three cents.

It has been 66 years since the nation added no jobs whatsoever.

CNBC’s Rick Santelli correctly predicted the zero number. Others say it suggests a negative third quarter GDP. You think? For the first time I heard someone say, matter-of-factly, “when Rick Perry becomes president.”

Sounds about right.

... Leave a Reply