Unemployment Rate is a monthly economic release by the Bureau of Labor Statistics, measuring the percentage of the labor market work force that is unemployed and seeking for new jobs. Lower readings are positive for the US Dollar and the US economy, as more people can consume and spend more, and therefore can have a positive effect on the GDP growth. The Unemployment Rate may vary significantly on a monthly basis due to seasonality reasons, but a long-term trend is indicative of the economic outlook for the country. It is a very important economic indicator, and is closely monitored by the Fed with frequent mentions on its readings, playing an important role in the monetary policy and its future changes as a strong labor market with low reading of unemployment, can often lead to inflationary pressures in the economy.
The United States Unemployment Rate
The United States Unemployment Rate latest reading for the month of June of 2017 was 4.4%, higher than the expectation reading of 4.3% and the previous reading of 4.3%. But the United States Unemployment Rate previous monthly reading of 4.3% was a 16-year low price, reflecting a strong labor market. The average long-term reading for the United States Unemployment Rate and the period of years 1948-2017 is 5.80%. The all-time high reading for the Unemployment Rate was 10.80% in November of 1982, and the all-time low reading was 2.50% in May of 1953.The latest low readings of the Unemployment Rate support the latest expectation about one more interest rate hike by the Fed by the end of 2017.
