U.S edges towards the cliff with jobs, with fears that Economic recovery is in the balance.
The U.S. desperation to fire up its economy in the middle of a pandemic remained sluggish last week with signs the lapse of emergency unemployment benefits and business grants may have begun taking a toll. Hiring at small businesses, shifts worked across a range of industries, credit card spending and even gasoline demand that typically grows through the summer remained very low and a constant reminder looms how far below they are from the levels a year ago.
Initial filings for unemployment insurance did fall below 1 million for the first time since the March onset of the coronavirus-driven economic downturn, and the number of people continuing to collect benefits fell 604,000 to 15.486 million in the week ending August 1.
The outcome led a New York Federal Reserve weekly index of projected growth in gross domestic product to improve slightly, But while the claims statistics indicate some rehiring continues, the numbers continue to remain extremely high by historical standards. Concerns are growing that the continued spread of the virus and the inability of the White House and U.S. Congress to agree on new government support for ailing businesses and the unemployed may stifle the recovery altogether.
Early hopes for a quick rebound has now faded as the move to restore normal commerce clashed with a rebound in coronavirus cases. Florida recorded a record coronavirus death toll this week, and daily U.S. case growth is more than double what it was at the beginning of June.
|02:00||Retail Sales (YoY)(Jul)||0.10%||-1.80%|
|02:00||NBS Press Conference||-||-|
|02:00||Industrial Production (YoY)(Jul)||5.10%||4.80%|
|02:00||FDI - Foreign Direct Investment (YTD) (YoY)(Jul)||-||-1.30%|
|02:30||Retail Sales ex Autos (MoM)(Jul)||1.30%||7.30%|
|09:00||Gross Domestic Product s.a. (QoQ)(Q2)||-12.10%||-12.10%|
|09:00||Gross Domestic Product s.a. (YoY)(Q2)||-15%||-15%|
|12:30||Retail Sales Control Group(Jul)||0.80%||5.60%|
|14:30||Unit Labor Costs(Q2)||6.20%||5.10%|
|N/A||REINZ House Price Index (MoM)(Jul)||-||0.90%|