US

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This week’s reports:

  • May’s Unemployment Rate fell to 13.3% from April’s 14.7% after Non-Farm Payrolls rose by 2.509 million, versus April’s -20.687 million and versus the expected loss of 8 million jobs. The improvements in the labor market reflected a limited resumption of economic activity that had been curtailed in March and April due to the coronavirus pandemic and efforts to contain it. Labor Force Participation Rate rose to 60.8% from April’s 60.2%.
  • May’s Average Weekly Hours rose to 34.7 from April’s 34.2. Average Hourly Earnings rose 6.7% y/y versus April’s +8% y/y.
  • Q1 2020 Non-Farm Productivity fell by 0.9% versus Q4 2019’s -2.5%. Unit Labor Cost rose 5.1% from Q4’s +4.9%.
  • April’s Consumer Credit fell by $68.78 billion (versus the expected drop of $20 billion) from March’s -$12.04 billion. Revolving credit dropped a record 64.9%; while nonrevolving credit fell 4%.
  • May’s Markit Manufacturing PMI rose to 39.8 from April’s 36.1. Services PMI rose to 37.5 from April’s record low of 26.7 and slightly higher than the preliminary reading of 36.9. Composite PMI rose to 37 from April’s record low of 27.       
  • April’s ISM Manufacturing PMI rose to 43.1 from April’s 41.5. Non-Manufacturing PMI rose to 45.4 from April’s 41.8.        
  • April’s Factory Orders fell by 13% from March’s -11%.
  • Initial Jobless Claims for the week ending May 30th fell by 249K to 1.877M, their ninth straight weekly decline. Continuing Jobless Claims for the week ending May 23rd rose by 649K to 21.487M.