American auto industry added 463,100 jobs over 5 yrs; best growth since 90s. June also best auto sales since ’06. pic.twitter.com/EZWR5wKuvO
— Jason Furman (@CEAChair) July 3, 2014
The unemployment rate slid to 6.1 percent in June, which, following several years of chronic joblessness, has a relatively positive ring to it. The economy added 288,000 jobs, the Labor Department reported today.
This follows that 2.9 percent annualized slide in GDP during the first quarter of 2014, the worst contraction since the worst recession since the Great Depression.
“A rebound in the economy after a first-quarter slump is encouraging companies such as Ford Motor Co. (F) to add to staffing levels, laying the groundwork for a pickup in wages needed to further propelconsumer spending,” Shobhana Chandra reports. “More employment opportunities will probably keep Federal Reserve policy makers on the path to reduce monetary stimulus.
“The improvement in the labor market is accelerating,” says Robert Stein, deputy chief economist at First Trust Portfolios LP in Wheaton, Illinois, and the top forecaster of payrolls the past two years, according to data compiled by Bloomberg. “We’re seeing a self-sustaining recovery where production growth leads to job growth, which leads to consumption growth.”
Since the trough of the recession, through mid-term elections and a presidential reelection campaign, the White House has been highlighting an unrelenting monthly gain in jobs. Today, the streak is running at four and a third years:
— The White House (@WhiteHouse) July 3, 2014
Reporting form the White House, Bloomberg’s Mike Dorning notes, however, that while all the jobs lost during the recession have been replaced, the median wage has come out smaller on the recovery end. And this isn’t putting much wind in the sails of the president’s party heading into November.