Numbers ease recession fears for now.
U.S. employers added 372,000 jobs to the U.S. economy in June, extending a streak of strong labor market gains, yet the broader economy showed signs of weakening under the weight of high inflation and rising interest rates. The unemployment rate was unchanged at 3.6 percent.
“This has been the fastest and strongest jobs recovery in American history,” President Biden stated on Friday. “Of course, having added a record number of new jobs, and achieved historically low levels of unemployment, additional job growth from this strong position will be slower. That is not a bad thing, because our economy should move to stable growth for the years ahead.”
For its part, the Federal Reserve is focused on moving quickly to slow the economy before expectations of higher inflation to continue indefinitely. The job numbers support the likelihood of another 0.75 percentage point rate hike later this month.
As the Lord Leads, Pray with Us…
- For the president and his administration as they consider methods to address inflation.
- For Chairman Powell and the Federal Reserve Board as they contemplate another interest rate hike.
- For Labor Secretary Walsh to seek God’s guidance as he oversees his department.
Sources: Politico, Wall Street Journal, Axios
