Ljupco There are three kinds of lies: lies, damned lies, and statistics .”― Mark Twain. The yield on the 10-Year Treasury ( US10Y ) surged nearly 15bps Friday after the May BLS Jobs Report showed 272,000 positions created last month, which easily beat even the high estimate.
I would take this the jobs report with a massive grain of salt, however. It comes off a much weaker than expected April BLS report, for starters. Second, the seasonal adjustments within the "birth/death" model accounted for 231,000 of these positions.
The adjustments have also been responsible for roughly half of all jobs " created" over the past 13 months. Zero Hedge Third, just like in April, the unemployment rate ticked up .1% to the four percent level, which uses the Household Survey to calculate.
This was due to the labor participation rate dropping to 62.5% in May from 62.7% in April.
In addition, all the positions " born" in the month were of the part-time variety. Part-time jobs rose 286,000 during the quarter, while full-time jobs fell by just over 600,000. This is a continuation of a concerning trend where over the past year, roughly 1.
5 million part-time positions were created while approximately one million full-time jobs were lost. Zero Hedge This difference is that the BLS survey does not account for people working two or three jobs, which are now at a record as many Americans have struggled to maintain their standard of living during the inflationary environment of the past couple of ye.
