US employment growth misses forecasts for August


US car manufacturing.

The US economy added 156,000 jobs in August, less than the previous month and below expectations.

Analysts had expected US non-farm payrolls to grow by around 175,000 last month, down from the 209,000 gain reported in July.

The US Department of Labor also announced that the jobless rate had ticked up to 4.4% from 4.3% in July.

Weekly earnings rose at an annual pace of 2.5%, maintaining the same rate of growth since April.

Kully Samra, UK managing director at broker Charles Schwab, said that while the data was “disappointing” it should be viewed “in the context of solid US and global economic growth, strong earnings, low inflation and still-ample global liquidity”.

The US Department of Labor pointed out that Hurricane Harvey had had “no discernible effect” on employment or unemployment figures for August because the data had been collected before the storm.