169,000 net jobs created in August; June, July numbers drastically lowered

The "official" unemployment rate dropped to 7.3% from 7.4% last month. But, as usual, the number went down because more American workers simply gave up trying to find a job. Labor force participation dropped to 63.2% - the lowest since 1978. Wall Street Journal: Employers added 169,000 jobs in August and July's figure was revised sharply lower to 104,000, suggesting the labor-market recovery isn't gaining strength and potentially complicating the Federal Reserve's plans to start dialing back its support for the economy. In its monthly employment report released Friday, the Labor Department lowered the combined tally for job gains in June and July by 74,000. The nation's unemployment rate stood at 7.3% in August, down slightly from 7.4% in July. The August jobs gain was slightly lower than the average monthly gain of 184,000 over the prior 12 months and the 175,000 new jobs forecast by economists. The private sector added 152,000 jobs in August and government increased...(Read Full Post)