The employment rate in the United States increased by 167.000 people in July 2020. It's important to mention the fact that the data came in much worse than expected. According to Reuters, this increase was expected to reach 1.5 million people. At the same time, July's figures were much worse than those revealed in June 2020.
Pandemic Affects U.S. Labor Market and Entire Economy
The employment rate increase by 167K people, according to ADP, is the result below Bloomberg's expectations, as well. The experts used to expect a 1.2-million-people increase for the reporting period. As we have already mentioned, this is way below June's increase of 2.4 million people. However, the PMI figures cam in slightly better than expected.
According to Bloomberg, the coronavirus pandemic is the key reason for the economic slowdown in the USA, and the entire world. JP Morgan experts say the ADP figures, though better than expected, still assure then that the U.S. economy has been slowing down over the last few weeks.
On the same day, the PMI figures were published, coming in at 50 points and 50,3 points (for PMI Composite) against 47.9 points in June and 49,6 points expected this time respectively. For those of you who don't know, a value above 50 points means recovery in the sector.
