The U.S. economy added just 169,000 jobs in August, which was lower than 180,000 expected. Furthermore, the July number was revised down to 104,000 from an earlier estimate of 162,000.
And on top of that, the labour force participation rate fell, causing the unemployment rate to drop to 7.3% from 7.4% in July.
All of this reminds us that the jobs market remains weak four years into the economic recovery.
Calculated Risk runs a chart every month that puts the current jobs recovery into perspective.
“This shows the depth of the recent employment recession — worse than any other post-war recession — and the relatively slow recovery due to the lingering effects of the housing bust and financial crisis,” writes Bill McBride of Calculated Risk.