LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

Technical Scoop Update: Powell in the spotlight, Divergences are popping up everywhere, Gold rose on Fed rate cut expectations
By: David Chapman

Wrong Whale
By: Ted Butler

GoldSeek Radio: Dr. Marc Faber, John Scurci and Robert Ian
By: Chris Waltzek Ph.D., GoldSeek Radio

Itís Been a Great Recession for a Few; Letís Do it All Again!
By: David Haggith

Ignore the Gold COT's (video update)
By: Gary Savage

How The Fed Affected The Gold Market Last Week
By: Avi Gilburt

Modern Monetary Theory is fact and practice, and market rigging is its consequence
By: Chris Powell, GATA

Precious Metals Update Video: Monthly gold chart showing a breakout fight
By: Ira Epstein

The U.S. Is Not an Economic Island
By: Rick Ackerman, Rick's Picks

BIS' gold swaps rise slightly in June but are down sharply since last year
By: Robert Lambourne


GoldSeek Web

US lost 523,000 full-time jobs in June most in 20 years

 -- Published: Sunday, 6 July 2014 | Print  | Disqus 

By Peter Cooper

Behind the optimistic headline news on jobs is the far more sobering fact that the United States lost 523,000 full-time jobs in June, the most in 20 years.

This was offset by a gain of 799,000 part-time jobs. No prizes for guessing why average wages have not risen much. This is fully consistent with the 2.9 per cent slump in GDP in the first quarter as firms move to more flexible and less expensive labour.

Weaker jobs market

The figures show full-time jobs tumbled by 523,000 to 118.2 million while part-time jobs rose by 799,000 to over 28 million. Itís a question of the quality of employment rather than the quantity. This is a weakening and not strengthening jobs market.

Unemployment figures remain at the creative edge of statistics. The official unemployment level is 6.1 per cent while if you add in the under-employed it comes to 12.1 per cent and a revision to the older statistical measures by ShadowStats puts it at 23.1 per cent in line with the Great Depression of the 1930s.

ShadowStats also reckons that the continuing high trade deficit should subtract one per cent from Q2 GDP. ArabianMoney believes the sudden reduction of the US federal budget deficit from 10 to three per cent this year is the main reason for the contraction in GDP, a huge ongoing adjustment that many economists seem to have largely ignored.

We recall meeting one senior economist late last year who saw it as a positive factor (click here). That struck us as a strange assessment at the time. The assumption that the private sector would fill the gap looked wildly optimistic and the impact on GDP has indeed been substantial.

Meanwhile US supermarket prices are rising, with prices of meat and dairy up 7.7 and 4.2 per cent respectively. Goldman Sachs recently forecast that rental prices will keep going up in the next few months. Yet average hourly earnings are up by just 23 cents since the start of the year.

No vacations

According to travel market researcher Skift only 15 per cent of Americans are planning a vacation. A survey showed 33 per cent canít afford it, 30 per cent are too busy and 22 per cent plan just to take a short vacation.

Could the second quarter GDP figures end up being just as disappointing as the first? Is the US already in a technical recession?

Look behind the 288,000 new jobs figure reported last week and the illusion behind the hype is all too clear. Wall Street lives in a world of rampant recovery that the real economy does not support. Thatís a recipe for a crash not just a correction.


| Digg This Article
 -- Published: Sunday, 6 July 2014 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2019 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


The views contained here may not represent the views of, Gold Seek LLC, its affiliates or advertisers., Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, Gold Seek LLC, is strictly prohibited. In no event shall, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.