Published: Fri, July 06, 2018
Markets | By Otis Pena

Montreal unemployment rate drops to lowest level since December

The Bureau of Labor Statistics is set to release the June jobs report at 8:30 a.m. ET. Additionally, the Trump administration has drawn attention to the record-low of African American unemployment, even as it remained higher than the overall rate at 5.9%.

Newfoundland and Labrador's unemployment rate is soaring.

Despite the small bump in unemployment, a decade of steady job growth following the Great Recession has pushed unemployment to the lowest level in decades.

Today's figures also showed that the United States unemployment rate rose to 4% from an 18-year low of 3.8% in May as more people entered the labour force in the sign of confidence in the jobs market.

The unemployment rate ticked up to 4% from 3.8%, but this was because more people entered the labour force looking for work. The Wall Street Journal credited new manufacturing with the positive news.

That said, the labor market isn't flawless. Some economists project economic output rose at better than 4% annual pace in the second quarter for the first time since 2014. Up until last month, the country's labour force had been little changed through 2018.

Trump stumps in Montana: "It’s time to retire liberal Democrat Jon Tester".
Trump tells the rally that Rosendale is a "tough cookie" who will "fight for you". "We can't trust him to defend Montana". President Trump also teased his announcement next Monday for his Supreme Court nominee.

It is unusual for monthly job numbers to be this high nine years into an expansion.

Manufacturers and services firms have said in recent surveys that their business is improving despite anxiety about the tariff showdown.

"A 32K rise in employment was refreshing news after a couple of weak months".

Though economic growth appears to be solid, the gains have been spread unevenly.

The economy also faces a substantial threat from the trade tension with China and from other trade disputes with US allies, including Canada and Europe. Any escalation in the conflict with China could disrupt hiring as companies grapple with higher import prices and diminished demand for their exports. The Federal Reserve on Thursday reported some businesses had already scaled back or postponed planned investment due to the trade struggles, and warned that many more promise to do more if the spats continue to escalate. Trump has spoken about slapping tariffs on imported cars, trucks and auto parts, which General Motors has warned could hurt the USA auto industry and drive up vehicle prices.

Automakers added 12,000 jobs in June, but the tariffs could weigh on that industry's job growth in the coming months.

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