Today's report on non-farm payrolls showed a loss of 51,000 jobs and a rise in the unemployment rate, now up to 5.7%. While an increase, the overall job loss numbers are still well below the six figure numbers seen in past recessions. In the 2001 recession, monthly losses hit a high of 325,000. The 1990-91 recession peaked at 306,000 losses. As you can see from the chart below, numbers peak toward the end of a recession (recessions are marked by grey bands), making employment a lagging indicator.
Here is a breakdown of where the job losses were as well as which sectors were adding jobs. Worst hit were manufacturing, professional services, and construction. Government added the most jobs, primarily at the state and local levels (your taxes at work).
Total change in non-farm payroll = - 51,000
- Private Sector = - 76,000
- Natural Resources & Mining = + 11,000
- Construction = - 22,000
- Manufacturing = - 35,000
- Durable goods = - 17,000
- Non-durable goods = - 18,000
- Services = - 5,000
- Wholesale Trade = - 16,900
- Retail Trade = - 16,500
- Transportation = - 5,800
- Utilities = + 200
- Information & Media = - 13,000
- Financial Svcs & Real Estate = Unch
- Professional & Business Svcs = -24,000
- Education = + 5,300
- Health Svcs = + 34,300
- Leisure = + 1,000
- Government = +25,000
The futures were up on the news, with lower than expected losses. Leading the S&P on the open are MBIA , Apartment Investment & Mgmt, Massey Energy , Ingersoll-Rand , and Apache .