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US added just 235,000 jobs in August compared to the 700,000 predicted

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BREAKING NEWS: US added just 235,000 jobs in August, compared to 700,000 forecast as Delta wave undermines economic recovery

  • The US job market saw job hiring slow to 235,000 in August after two strong months with the Delta variant blamed
  • Economists had predicted about 700,000 jobs
  • President Joe Biden will address the number of jobs in a White House speech Friday before heading to New Orleans to review the damage from Hurricane Ida










The US job market saw job hiring slow to 235,000 in August, after two strong months with the Delta variant at fault.

The unemployment rate fell to 5.2%, the Labor Department reported Friday, but labor market forecasts fell short of expectations by a significant margin. Economists believed that nearly 700,000 jobs would be created in August.

President Joe Biden will address the number of jobs in a White House speech Friday before heading to New Orleans to review the damage from Hurricane Ida.

The August employment report was expected to show another strong hiring month, but Wall Street also watched it for signs of how the Delta variant of the coronavirus has affected the economy.

The coronavirus has been a wildcard for economists, and the Delta variant has seen the number of cases rise across the country. Many places have again issued a mask mandate and other restrictive measures.

President Joe Biden will address the number of jobs in a White House speech Friday before heading to New Orleans to review the damage from Hurricane Ida

The number of jobs in August was also significantly lower than in July, when the economy added 943,000 jobs for an unemployment rate of 5.4%.

The Federal Reserve is closing in on these numbers for signs of COVID’s impact on hiring and activity as it considers when to begin easing some of the extraordinary measures it has taken during the pandemic.

Federal Reserve Chairman Jerome Powell said at the central bank’s Jackson Hole Symposium last week that Fed officials agreed they should begin phasing out their $120 billion-a-month bond-buying program this year. .

However, he cautioned that he would like to see more progress in the labor market before such a move was made.

So officials will be watching this economic report and the next one ahead of the Fed’s Sept. 22 meeting.

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