Business

In its latest, July, snapshot of the US economy, the NY Fed observed something startling, and which hasn't received much discussion in the media: when looking at the June report, over the past year the only employment gains have gone to less educated Americans, or as the NY Fed puts it, "over the last year, the employment-to-population ratio has risen for the less educated." It added that "for those with less than a high school degree and for high school graduates, the employment-to-population ratio rose by 0.4 percentage point and 0.9 percentage point, respectively.

Two weeks ago we summarized the stunning impact that ECB Predit Mario Draghi's 'whatever it takes' efforts have had on European capital markets in one simple chart...

The European Central Bank now owns 14.8% of all eligible European corporate bonds.

And now the dovish Fed has another problem: the BLS reports that in July the US added 209K jobs, beating consensus expectations of a 180K print, while June was revised higher to 231K from 222K, even as May was revised modestly lower from 152K to 145K, for a net gain of +2,000 in the prior two months.

Nonfarm private payrolls rose 205k vs last month's 194k, and above the estimate of 180k, as the drop from durable manufacturing failed to materialize. In a familiar refrain, bars and restaurants hired the most workers of any sector in July.

Authored by Mike Shedlock via MishTalk.com,

Yesterday, I commented on “transitory” factors holding down inflation.

Today, the Wall Street Journal reports Global Inflation Hits Lowest Level Since 2009.

Gold Outperforming Stocks YTD As Dollar Has 5th Monthly Decline