Behind the NFP Headlines
News
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Posted 04/04/2016
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4860
Gold and silver took a hit Friday night and shares rallied…. Why? Well all rejoice the awesome non farm payrolls and household survey employment numbers out of the US. A better than expected 215,000 new jobs were created and the unemployment rate rose to 5% on the back of a better participation rate (up 0.1% to a still awful 63%). Headline reading pundits saw this as a turnaround to the dovish news all the week before. So… let’s look behind the headlines again…(courtesy of David Stockman):
- 65,000 of those new jobs were courtesy of the mythical ‘birth death’ adjustment that estimates those leaving the workforce as starting a new business. Separate data shows more small businesses closing than starting (for the last 4 years) so go figure…
- The number of multiple job holders jumped by 127,000 as people need more of the predominately new low paying jobs to make ends meet.
- The core sector of employed men aged 35-54 dropped by 76,000.
- Manufacturing only accounted for 29,000 jobs as the US continues to see a decline in productive industries (check out the charts below):
![](/root/NewsArchive/Images/2016/4/US-20manuf-20v-20waiters.webp)