By Evie Fordham FOXBusiness
Allianz chief economic adviser warns of slight increase in black unemployment
The May jobs report was the “biggest positive data shock” in history after the Labor Department reported a lower-than-expected 13.3 percent unemployment rate, Allianz chief economic adviser Mohamed El-Erian said on Sunday.
“I was very surprised,” El-Erian told “Fox News Sunday.” “This will go down in history as the biggest positive data shock for the markets and the economy.”
“It’s some combination of an incredibly resilient economy bouncing back, the impact of government measures including the Paycheck Protection Program and finally, maybe some data distortion, so we can’t figure it out yet, but it certainly is good news,” he said.
Categorization issues may have led to the unemployment rate appearing lower than it actually is.
Now Open sign is displayed at a stationery store in Evanston, Ill., May 29, 2020. (AP Photo/Nam Y. Huh)
“There’s a category in there which says ‘staying at home for other reasons than unemployment,'” El-Erian said. “It’s supposed to capture jury duty. That category has become really big, and if you adjust for it that’s an additional three percentage points on the unemployment rate.”
May data also showed a slight 0.1 percent increase in black unemployment to 16.8 percent, highlighting a “problem of inequality of opportunity,” El-Erian said.
“The unemployment rate for blacks shot up much faster than it did for whites,” he said. “Last Friday’s data told us that while whites got a very sharp reduction in the unemployment rate, the rate for blacks went up. … It’s really important to focus on this.”
- Hospital System That Serves 4 States Fires 175 Workers After Vaccine Mandate
- Google, in Fight Against Record $5 Billion EU Fine, Slams Regulators for Ignoring Apple
- Thousands of NY Health Care Workers Placed on Unpaid Leave, Face Firing Over Vaccine Mandate
- New York Hospitals Preparing for Health Care ‘Problem’ as COVID-19 Vaccine Mandate Takes Effect
- Democrats ‘Reach Agreement’ to Raise $600 Cap on Biden’s Proposal on IRS Reporting and Surveillance
- Trump Promises ‘Orderly Transition’ After Biden Certified as President-Elect on
- Trump Says Supreme Court ‘Incompetent and Weak’ Over Election Fraud on
- NH’s Voting Machines Are Capable of Redistributing Votes on
- Dominion’s Parent Company Arranges $400 Million Placement 1 Month Before Election: SEC Filing on
- Joe Biden listed as criminal suspect in Ukrainian court on