(STAFF REPORTS/Chewelah Independent)
The United States saw 4.8 million new jobs in the month of May and unemployment during the COVID-19 pandemic dropped to 11.1 percent, which is rosier news than economists were expecting. Many states across the country are in the process of reopening their economies despite a growing case number of the virus being reported by health officials.
The June growth of 4.8 million jobs is by far the largest single-month gain in US history. Still much more is needed for the US economy to get back to its pre-pandemic form.
“The 4.8 million rise in non-farm payrolls in June provides further confirmation that the initial economic rebound has been far faster than we and most others anticipated,” Michael Pearce, senior U.S. economist at Capital Economics, told CNBC. “But that still leaves employment 9.6% below its February level and with the spread of the virus accelerating again, we expect the recovery from here will be a lot bumpier and job gains far slower on average.”
Original estimates had the country’s unemployment rate dropping to 12.4 percent, but actual reports far outpaces the drop. Estimates also included a growth of 2.9 million jobs, which was far exceeded as well.
New jobless claims continued to be high, however, as 1.427 million Americans applied for the first time last week. Total continuing jobless claims is sitting at about 19.3 million.