What does today's jobs data mean? Martin Mucci, President and CEO of Paychex, gives his insights.
Today saw the release of one of the most important jobs data report in a long time. At an increase of 162,000 in July, non-farm payrolls fell below the anticipated 184,000 number.
What is happening in with employment in the United States?
One of the best people to ask is Martin Mucci, President and CEO of Paychex. The Rochester, NY-based company provides payroll services for more than half a million small- and medium-sized companies in the US.
The market is still weighing in on this morning’s report because it may give clues on what the Federal Reserve Bank will do next.
For several years now, the Fed has been buying bonds in an effort to add dollars into the financial system in order to lower interest rates and spur the economy. As of late, the amount of US Treasury and mortgage-backed bonds has been $85 billion per month. But Fed Chairman Ben Bernanke has hinted that the program will be tapered should the economic data improve.
Meanwhile, other data suggest the economy may indeed be improving. Wednesday’s GDP number was 1.7% on an annualized basis during the second-quarter of 2013. That was far more than the 1.0% economists were expecting.
In his interview with Talking Numbers, Mucci says there are indicators pointing where jobs are headed next. And, he also says what sectors are seeing the most employment growth.
To hear Mucci’s insights into the jobs data, watch the video above.