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Job report gives jolt for Trump campaign

A new job report that said the economy added a better than expected 224,000 jobs in June, gave good news on Friday for President Trump Donald John TrumpTrump is considering executive order of census US women's football The star Alex Morgan says the verdict on the Trump White House invitation will be a law decision China renews its demands for the US to lift all tariffs for the trade agreement MEERE and strengthens the feeling that economic growth will be a source of strength for re-election its next year's bid. 1[ads1]9659004] It was small bad news in the report, which showed growth in jobs in industry, construction and other sectors, as well as a slight increase in wages.

After the economy had added 75,000 jobs in May, a downgrade was closed on Friday to 72,0000 – there was widespread concern that the economy could slip back and that a pre-election decline could be possible.

Such fears largely disappeared with the new report, leaving Trump sounding a safe note.

"We had big numbers this morning," the president told reporters. "And our country continues to do very well – really, very well. So we are very happy about it. I think we should – we are going to break records."

The only bad news from the President's perspective of strong growth is the possibility that it will cause the Federal Reserve to keep interest rates where they are. Trump argues that further cuts will give the turbo charging economy, and he has repeatedly criticized Fed's rate hikes.

"If we had a Fed that would lower interest rates, we would be like a rocket ship, but we pay a lot of interest, and that's unnecessary," he said Friday. "But we don't have a Fed that knows what they're doing, So that's one of the little things. But if we had a Fed that would lower the rates, you would have a rocket ship. "

The upswing also gives Trump greater influence in the EU-China trade fights, where growth slows down. The work figures reinforce the feeling that the US economy is surviving higher rates on US exports and that China and the EU are negotiating to lower US tariffs Outside analysts expressed wonder at the opposition in the US labor market, which has a 3.7 percent unemployment rate that is historically low. The report also suggested that workers return to the economy at work after jobs.

"That the labor market has managed to expand every month for the past 9 1/2 years, shouldn't be overlooked, "wrote Moody's Analytics CEO Sophia Koropeckyj in a Friday research note." We are still in an unexpected period of growth. "

The economy has grown for record 121 consecutive months from Monday, when the 2008 recession recovery was ten years old, although Trump has only been president for 31 of these during the years, unemployment has dropped to near record levels and the gross domestic product (GDP) has accelerated under his watch.

"While growth in May and February this year was well below Trend, strong June job growth is a sign that the economy is not slowing down as it continues to approach full employment," said Valerie Wilson, director of the Economic Policy Institute. a left-leaning tank.

The new report and reaction to it represents a turnaround from just one month ago, when the warning clouds for the economy seemed to gather.

June began with the poor job report for May, Trump's surprise threat to imposing tariffs on Mexico and increasing trade tensions between the White House and Beijing – which raised serious fears about the direction of the global economy.

The Fed opened the door to cut prices for its June meeting after holding stable stable since January. Fed Mayor Jerome Powell quoted increased uncertainty about Trump's trade battles and persistently low inflation.

Trump then resumed his threat of imposing tariffs on Mexico over immigration and struck a trading weapon with Chinese President Xi Jinping. Non-escalation pact is far from a complete deal, but pausing on additional rates helped remove a path towards an end to the annual trade war.

The service also increased the optimism among investors about the possibility of a trade deal, and sent the Dow Jones Industrial Average, S & P 500 and Nasdaq to record highs during an abbreviated Wednesday session.

Nevertheless, the shares took shortly after the Friday job report, probably because the employment increase could reduce the chances of a Fed price reduction. Larry Kudlow Lawrence (Larry) Alan KudlowMORE director of the White House's Financial Advice, said in a Friday talk that the Fed should cut borrowing costs as a hedge against slowing growth abroad.

"With a weak global economy, taking out an insurance isn't bad," Kudlow told Bloomberg TV.

Trump can still get its desired rate cut when the Fed meets on July 30, even as the domestic economy is improving. Although trade tensions with China have eased, Trump has expressed the comfort of raising and maintaining tariffs on Chinese goods rather than actual trade.

Trump's renegotiated North American Free Trade Agreement has also stopped in the house, fearing he could withdraw from the original pact. And Trump is also approaching a deadline to decide on imposing tariffs on imported cars.

"The central bank can still try to mollify investors by putting a modest, so-called insurance rate in place," said Mark Hamrick, senior financial analyst at

"The range of headwinds associated with slowing global growth, trade disputes and tariffs has not gone away," he said.

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