EMPLOYMENT EROSION

While only a few months of data, July lost 23,000 jobs, and May and June were revised down by 103,000 combined. Although unemployment fell to 4.1%, it was only because the labor force participation rate slid to 61.4%, which outside Covid is the lowest since 4/1976. Wage growth slowed to 3.15% Y-o-Y, lowest outside Covid since 2/20. Payroll growth is a microscopic 0.2% Y-o-Y. A rate hike would be lunacy.