August US employment report expected to show 56,000 job gains, unemployment rate at 4.1%
Macro
According to market expectations for the August employment report to be released by the US Department of Labor on the 4th, non-farm payrolls are expected to increase by 56,000 from the previous month, turning positive after a decrease of 23,000 in the prior month. The unemployment rate is expected to remain unchanged at 4.1%. CIBC Capital Markets analyzes that job growth is moderate, the unemployment rate remains low, and average hourly earnings growth is slowing, which could provide a reason for the Federal Reserve to hold interest rates steady in September. On the other hand, Wells Fargo predicts job growth of 80,000 and a slight increase in the unemployment rate to 4.2%, analyzing that while the pace of job growth is slowing, the labor market is broadly balanced rather than deteriorating sharply, given low layoffs and steady wage increases.
