August jobs report: What one economist looking for

Wall Street is anxiously awaiting the August employment report, which will be released on September 6.

PNC Financial Services Group chief economist Gus Faucher is expecting about 170,000 jobs will have been added for the month. He thinks the unemployment rate will dip by a tenth of a percentage point to 4.2%, and the impact that Hurricane Beryl had on the July report will have been resolved. He thinks a report like that would be “a good, solid number consistent with slowing inflation and easing economic growth,” leading the Federal Reserve to cut by 25 basis points at its September meeting.

He thinks if the unemployment rate increases and the jobs number remains flat, then maybe the Fed will cut by 50 basis points, something he thinks would “work against” the economy.

Watch the video above to hear what Faucher has to say about the impact of immigration on the labor market data.

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This post was written by Stephanie Mikulich.