America Loses 701k Jobs AS Of Mid March

April 3, 2020

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President Donald J. Trump listens as Vice President Mike Pence, joined by members of the White House Coronavirus Task Force, addresses his remarks at a news conference Friday, March 13, 2020, in the Rose Garden of the White House

UPDATE: ISM Non-Manufacturing PMI (Mar) came in much stronger than expected in spite of the job loss experienced in March due to Chinese coronavirus.

Markit Services PMI (Mar) printed at 39.8 vs 39.1 consensus estimate.

Markit PMI Composite (Mar) printed at 40.9 vs 40.5 consensus estimate.

ISM Non-Manufacturing New Orders Index (Mar) printed at 52.9 vs 56.6 consensus estimate.

ISM Non-Manufacturing PMI (Mar) printed at 52.5 vs 44 estimate.

ISM Non-Manufacturing Employment Index (Mar) printed at 47 vs 53.7 estimate.

ISM Non-Manufacturing Prices Paid (Mar) printed at 50 vs 53 estimate.

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The unemployment numbers for the American economy reported this morning show massive job loss as expected. The number was finalized as of mid-March so does not capture all of the layoffs due to the Chinese coronavirus.

Everyone knew the numbers were going to be bad. What is important now is how the small business assistance programs passed by Congress are implemented. As of this morning, the Paycheck Protection Program has not been implemented. This is a problem and will put pressure on the markets until resolved.

The Paycheck Protection Program: Businesses with fewer than 500—including startups, sole-proprietors, and the self-employed—can get 100% fed-guaranteed loans for 8 weeks. If used for payroll, rent, utilities, or to rehire laid-off workers, it is forgiven. https://t.co/nf4GyvRkTn
— Kevin McCarthy (@SpeakerMcCarthy) April 3, 2020

Guidance for the Paycheck Protection Program is live! We encourage lenders to visit https://t.co/BvYPtkpepG for more details.
— Steven Mnuchin (@stevenmnuchin1) April 2, 2020

Non-farm Payrolls (Mar) printed at -701k vs -100k consensus estimate.

Average Hourly Earnings (YoY) (Mar) printed at 3.1% vs 3.0% estimate.

Average Weekly Hours (Mar) printed at 34.2 vs 34.1 estimate.

Labor Force Participation Rate printed at 62.7% vs 63.3% estimate.

Average Hourly Earnings (YoY) (Mar) printed at 0.4% vs 0.2% estimate.

U6 Underemployment Rate (Mar) printed at 8.7% vs 7.1% estimate.

Unemployment Rate (Mar) printed at 4.4% vs 3.8% estimate.

Author

CDM Staff

The mission at Creative Destruction Media is to be the catalyst for the "process of industrial mutation that incessantly revolutionizes the economic structure from within, incessantly destroying the old one, incessantly creating a new one."