http://thehill.com/policy/finance/216752-economy-adds-142k-jobs-worst-since-decemberBy Vicki Needham - 09/05/14 08:39 AM EDT
The U.S. economy added 142,000 jobs in August, well below expectations and breaking a six-month streak of gains above 200,000.
The unemployment rate fell by a tenth of a percentage point to 6.1 percent, the Bureau of Labor Statistics reported on Friday.
Employers had added an average of 230,000 jobs each month so far this year up until August. The numbers are the worst since December's 84,000 jobs added.
June’s figured was revised down by 31,000 to 267,000, while July was revised up by 3,000 to 212,000.
With Election Day two months away, the jobs figures offer little good news for President Obama and congressional Democrats who have struggled to gain much traction from the gradually improving economy because of a lack of wage growth.
Meanwhile, other economic indicators point to a more rapidly improving economy that should be able to sustain a faster pace of jobs growth.
Economic growth rebounded in the April-June quarter to a 4.2 percent annual rate.
Mark Zandi, chief economist with Moody’s Analytics, ahead of the report, called the stable jobs growth “unique” because the expansion had been riddled with boom or bust patches.
He said the economists “can conclude with a high level of confidence” that this level of jobs growth is a signal that the economy will consistently expand at a 3 percent annual pace.
“Generally speaking, it feels like a whole new trajectory of growth at this point,” he said.
A separate ADP report on Thursday showed that the private sector added a solid 204,000 jobs last month, a sign of consistent growth.
Meanwhile, the service sector expanded in August at its fastest pace on record and earlier this week, the Institute for Supply Management's manufacturing gauge showed that the sector grew at its fastest pace since 2011.
Job creation is holding at a six-year high, according to a new Gallup poll released Wednesday.
