Lower than expected job creation in the US lifts hopes for 'soft landing'

Lowest gain since December 2020

Job creation in the US continued its downward trajectory as non-farm payrolls came in weaker than expected in July, fuelling hopes that a ‘soft landing’ could still be achieved.

According to figures released by the Bureau of Labor Statistics today (4 August), 187,000 jobs were added last month, lower than the consensus of 200,000 and a fall from 209,000 in June. This was also the lowest gain since December 2020.  The unemployment rate came in at 3.5%, marginally higher than the multi-decade low of 3.4% seen in April and a slight decrease from 3.6% in June. Average hourly earnings rose 0.4% in the month, against 0.4% in June, while the annualised figure was unchanged at 4.4%. 'Remarkably robust' US economy grows 2.4% "It is unlikely we will see a notable ti...