Job growth continues, as does wage growth, depending on which benchmark is used. In December, the US added 156,000 jobs; which is good, but below the expected 183,000 jobs. Unemployment was up a little, to 4.7%, but still below 5%. The greatest growth in jobs has been from small and medium companies. At this rate the economy should reach full employment, which could initiate greater wage increases as the demand for workers increases and the supply decreases.
“In December, average hourly earnings reached a high of $26.00, compared with $24.76 in January of this year. For the year, wage growth amounted to 2.9 percent—the strongest since the recession.” – The Atlantic
Job participation remains at 62.7%. If the supply of workers is truly being used up, then job participation should begin to increase. Economies lag politics, so any political influence in today’s good news is due to changes from months or years ago. That suggests today’s good news will continue even after policies and politics shift.
(Click on the graph for the link.)