Expected solid job gains might boost US economy

In July, American employment surged at a healthy clip, with wages climbing up, that should back up consumer spending and the national economy in general.   

On Friday, the Labor Department's closely-watched employment report will most likely reveal that the previous month nonfarm payrolls surged by approximately 180,000 jobs, according to a Reuters poll of financial analysts. While it would be a step down from June's 287,000 leap,  July's expected soar would still be above the average monthly surge of 171,500 jobs over the first half of the year.

June's robust hiring, that followed May’s 11,000 gain was viewed as unsustainable considering that the economic growth for the last three quarters averaged a 1% annualized rate.

If job growth meet expectations, it will drastically reinforce the Federal Reserve's confidence in a labor market viewed by officials as close to full employment. Fed Chair Janet Yellen has already told that the US economy should create approximately 100,000 jobs per month to keep up with population growth.

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