Additionally, the month of August revealed a steep decline in hiring by small businesses, but in spite of this, the labor market continues to thrive. Furthermore, this sentiment is paired with an unemployment rate that continues to be at historically low levels.
In addition to the jobs report this week, the Institute for Supply Management released a report that revealed a growth increase in U.S. service sector activity–a pace that was higher than expected in the month of August. According to the ISM, its non-manufacturing index jumped to 58.5 during the month of August–about three points higher than the previous month.
“There was a strong rebound for the non-manufacturing sector in August after growth ‘cooled off’ in July,” said Anthony Nieves, Chair of the ISM Non-Manufacturing Business Survey Committee. “Logistics, tariffs and employment resources continue to have an impact on many of the respective industries. Overall, the respondents remain positive about business conditions and the economy.”
Related: Private Payrolls Less than Expected, Jobless Claims Fall
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