Overall Unemployment: 4.9% (4.7%)
African America Unemployment: 8.6% (8.2%)
Latino America Unemployment: 5.8% (5.6%)
European America Unemployment: 4.4% (4.1%)
Asian America Unemployment: 3.5% (4.1%)
Previous month in parentheses.
Analysis: Overall unemployment rose 20 basis points. All groups except Asian America saw a rise in their unemployment rate, who saw a 60 basis point decline in their unemployment rate. African America led the way with the largest increase of 40 basis points, followed by European America’s 30 basis points, and Latino America’s 20 basis points.
African American Male Unemployment: 8.2% (7.6%)
African American Female Unemployment: 7.3% (7.4%)
African American Teenage Unemployment: 31.2% (27.1%)
African American Male Participation: 67.8% (67.1%)
African American Female Participation: 60.9% (61.0%)
African American Teenage Participation: 29.2% (28.7%)
Analysis: African American men had a increase of 60 basis points in their unemployment rate, but also experienced a 70 basis point increase in their participation rate. African American women had a decrease of 10 basis points in their unemployment rate, but a 10 basis point decrease in their participation rate. African American teenagers had an increase of 410 basis points in their unemployment rate, but only experienced a 50 basis point increase in their participation rate.
CONCLUSION: The overall economy added 287 000 jobs in June. African America added only 32 000 jobs in June, making May look like an anomaly when African America gained more jobs than the overall economy. It is hard to be overly excited about June’s numbers after May produced only 38 000 jobs overall. A student who gets a 100 and a 0 on test, still has a F average. However, if July delivers a modestly decent number, it could allow the Federal Reserve to put a rate hike back in play for September, which we are still not sure the economy or market is ready for, but desperately needs to heal itself from a decade of fictional interest rates. The fictional interest rates have killed lending and savings and therefore hampered the creation of small business creation in the country. Those are long-term issues though, but issues nonetheless. In the short term, cultural backlash against African America may have some negative labor impact for the rest of the year given African America’s employment dependency on others.
African America needs to create 721 000 jobs to match the nation’s overall unemployment rate.