Published, Friday, May 8, 2022 6:30 am EST
by Richard Cason,
@newsmmforex
@nnmforex
in
Currency Analyst
NewsMovesMarketsForex
KEY TAKE AWAYS
- U.S. Jobs surge to two consecutive months of gains adding 428,000 new jobs to the U.S. Labor Markets in the Month of April 2022
- April 2022 Labor participation rate remains flat and unchanged at 62.2 percent
- Unemployment rate stayed the same coming in at 3.6% for the month of April 2022
- April Joblessness numbers for Blacks had slight improvement at 5.9% while Hispanics improved by 2.5 percent previous month to 4.1 percent respectively
- Positive Job Gains in Leisure and hospitality, manufacturing, warehousing, transportation.
U.S. Jobs POP off with an impressive jolt adding 428,000 new need jobs to U.S. Labor markets for the month of April 2022. The U.S. Labor market appears to be heading in the right direction as it relates to two consecutive months of robust growth, however; there is a clear significant imbalance in the over all worker pool as it relates to Employers having a tough time locating people to fill expanding job openings.
The specific key areas that spurred this voracious growth in the Economy were the Leisure, hospitality, manufacturing, transportation and warehousing sectors. Retrospectively, according to Bureau of Labor and statistics, (BLS) the average hourly earning over the last Year has risen by 5.5 percent.
Historical 40 year record High Inflation
The antagonist or the Bad Guy in the U.S. Economy, is non other than, ” Mr. Runaway Inflation”- which has disproportionately hit historical 40 year high’s of 6.6 percent. Sky Rocketing inflation is currently being perpetuated by the Russian invasion of Ukraine.
Furthermore; the China COVID-19 lock downs also have been clogging up global supply chains, causing massive turmoil driving up the cost Energy, fuel, food, as well other commodities, respectively.
Despite previous consecutive months of Unemployment rate improvements April rate remain the same as the March unemployment rate of 3.6.
Black unemployment improve fractionally from the previous month coming in at 5.9% in the month of April 2022 . According to Fed Chair Jerome Powell in a press conference held on April 4, 2022 stated that, “…Improvements in labor market conditions have been widespread including for workers at the lower end of the wage distribution as well as for Black Americans and Hispanics.”. Hispanics unemployment rate reports 6.2 percent with very light improvement from than the previous month.
BLS did also reported that the Labor Participation rate displayed no movement from the previous month coming in at 62.2 percent for April with little to no change than the previous month.
” Furthermore, BLS survey reports that, “among those not in the Labor force who wanted a job, the number of persons marginally attached to the labor force increased by 262,000 in April to 1.6 million. The number of discourage workers, a subset of the marginally attached who believed that no jobs were available for them, was essentially unchanged over the month at 456,000.”
“WHATS UP WITH THE MARKET”
Currency Markets reactions to Job numbers overtime has been mixed and sporadic with the U.S. Dollar index currently up on the day at .001% DXY trading 103.69 as of this writing. The DXY Index is trading Ten percent higher than October 8, 2021 Jobs Report rate results of 94.11, Check out the full story here (U.S. Jobs Report Falls 194,000 Job, Unemployment 4.8% Sep) .
Many of the mainstream currencies are slightly bouncing of the lows of Friday’s FX market close EUR weakening across a currency board spectrum: USD stronger than the EUR trading at 1.0539 (EURUSD -.11% down) CAD stronger than the EUR trading at 1.3601 (EURCAD -0.07% down)USD Stronger than CAD trading @ 1.2904(USDCAD -.01% down), CHF weaker than the Dollar trading at .98672 (USDCHF –.17% down the day. AUD weaker than the U.S. Dollar trading at 0.7065 (AUDUSD down @ -0.17%) – on the trading day.
(COVID ) Impact on the U.S. Economy
As of this date there have been 994,000 deaths and 88,800, 100 million infection cases, reported in the U.S. related directly to the Coronavirus pandemic.
According to the Bureau of Labor and Statistics in April of 2022, reported 7.7 percent of employed persons teleworked from home because of the coronavirus pandemic, 10 percent less than the previous Month. Additionally, 1.7 million people reported that they had been unable to work because their employer closed or lost business due to the pandemic.
April 2022 Jobs report
- Additionally, according to the United States Bureau of Labor Statistics ...Please click here to see the previous month 2021 Major Workers Group Data) …The unemployment rates for April 2022 Major Worker Groups..Adults men 3.5%, – slightly higher than September 2021 at 3.3% Adult women 3.2% -slightly lower than Mar 2022 which was 3.3%, Teenagers 10.2% – unchanged from Mar 2021 rate of 10.2%, Whites 3.2% -unchanged from Mar 2022 3.2%, Blacks 5.9% – remains flat exact the same as Mar 2021 7.9% rate, Asians 3.1% slightly lower than Mar 2022 rate of 2.8%, and Hispanics 4.1% -slightly lower than Mar 2022 rate of 6.3%.
Reference: U.S. Bureau of Labor and Statistics. (2022). Employment Situation Summary Retrieved from https://www.bls.gov/news.release/empsit.nr0.
