It took the weekend for me to fully calm down after hearing the monthly employment release on Friday. After digesting it I spent the rest of the day singing the Aretha Franklin song “Who’s Zooming Who?”
It said the unemployment rate in the U.S. was 7.3% in October, compared to 7.2% in September. In October, 204,000 jobs were added to the U.S. economy. (Source: Bureau of Labor Statistics, November 8, 2013.)
The “Who’s Zooming Who” began right after seeing that the underemployment rate (which includes people who have given up looking for work and people who have part-time jobs but want full-time jobs) actually jumped in October to 13.8%—it stood at 13.6% in September!
Low-wage-paying jobs accounted for most of the new jobs in the U.S. economy in October: 44,000 jobs were created in the retail trade, 53,000 jobs in the leisure and hospitality sector, and 15,000 jobs in health care. Combined, these low-paying jobs made up 55% of all the jobs created in October. Jobs in the traditional high-paying construction, financial and other good-paying sectors lagged and showed next to no change in growth in October.
The “Are You Kidding Me” kicked in when I read the civilian labor force (all workers in the U.S. economy) declined by 720,000! The labor force participation rate declined by 0.4% and stood at 62.8%. Hello? Anybody home???
Ed Note: Participation rate before decline "by 720,000!"
Zerohedge.com was spot on when it noted the only two factors in the report that really matter were this HERE
But thanks to the “Don’t Worry, Be Happy” crowd that runs rampart on Wall Street and the “I’m okay, you’re okay” financial media that lives off them, Friday’s number was sold as great news. Now if I can only figure out how to get title to the Brooklyn Bridge I could make a fortune with these folks.