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4 Aug 2014
US Payrolls a bit disappointing – Danske Bank
FXStreet (Edinburgh) - Chief Analyst Arne Rasmussen at Danske Bank assesses the recent US Non Farm Payrolls release.
Key Quotes
“The US labour market report came out slightly weaker than expected, although non-farm payrolls at 209k only fell marginally short of the consensus forecast at 230k, especially as June was revised marginally higher to 298k”.
“Hence, job growth has been fairly robust over the past two months. However, the market had probably been expecting a more positive outcome and importantly, the details revealed that the unemployment rate ticked one-tenth higher and that wage growth is still very modest”.
“Hourly earnings were flat m/m rising just 2.0% y/y. Hence, the report supports the Fed’s view that there is still plenty of slack in the labour market”.
Key Quotes
“The US labour market report came out slightly weaker than expected, although non-farm payrolls at 209k only fell marginally short of the consensus forecast at 230k, especially as June was revised marginally higher to 298k”.
“Hence, job growth has been fairly robust over the past two months. However, the market had probably been expecting a more positive outcome and importantly, the details revealed that the unemployment rate ticked one-tenth higher and that wage growth is still very modest”.
“Hourly earnings were flat m/m rising just 2.0% y/y. Hence, the report supports the Fed’s view that there is still plenty of slack in the labour market”.