8/11: MetroIntelligence Economic Update by P. DUFFY
1.8 million more jobs filled in July, unemployment rate declines to 10.2 percent
Total nonfarm payroll employment rose by 1.8 million in July, and the unemployment rate fell to 10.2 percent, although 60 percent of the jobs earlier this year have yet to be replaced. Notable job gains occurred in leisure and hospitality, government, retail trade, professional and business services, other services, and health care.
Home Purchase Sentiment Index drops 2.3 points in July, down 19.5 points year-on-year
The Home Purchase Sentiment Index® (HPSI) decreased 2.3 points in July to 74.2, moderating slightly after two consecutive months of advances. Three of the six HPSI components decreased month over month, with consumers reporting a significantly more pessimistic view of homebuying conditions but a more optimistic view of home selling conditions. Year over year, the HPSI is down 19.5 points.
Top 10 issues impacting real estate in 2020-21 reviewed
The Counselors of Real Estate has identified the current and emerging issues expected to have the most significant impact on real estate for the foreseeable future, with the COVID-19 pandemic being the leading concern of the 1,000-member organization. Other major issues include Economic Renewal, Capital Market Risk, Public & Private Indebtedness, Affordable Housing, Flow of People, Space Utilization, Technology & Workflow, Infrastructure and ESG (Environmental, Social and Governance).
Job openings rose by 9.6 percent in June, but still an excess of 12 million unemployed versus jobs
The number of job openings increased 9.6 percent to 5.9 million on the last business day of June, and hires fell 7.0 percent to 6.7 million, but were still the second-highest level in the series history. Total separations increased 12.3 percent to 4.8 million, with those quitting rising 25.7 percent to 2.6 million. There were 17.75 million unemployed persons in June, for an excess of 11.9 million unemployed versus job openings.
15 of 21 global sectors reported growth in July, up from four in June
The July global sector PMI™ data from IHS Markit signalled that the majority of sectors achieved growth of output at the start of the second half of 2020, as governments continued to ease restrictions brought in to contain the coronavirus disease 2019 (COVID-19) pandemic. Out of 21 sectors monitored, 15 recorded expansion in July, up from four in June.