The economy is expected to have added about 845,000 payrolls in July, according to Dow Jones consensus estimate, as America’s workforce gradually rebuilds from its sharp pandemic-induced job losses.
But the uncertainty of Covid — spreading again at a rapid pace — has become a wild card for the labor market, just as it has for the broader economy. The rate of new infections in the U.S. is edging toward 100,000 per day, faster than last summer when there were no widely available vaccines.
Wall Street forecasts are wide-ranging for the July employment report, which is slated for release Friday at 8:30 a.m. ET. Wilmington Trust economists, for instance, expect just 350,000 payrolls, while Jefferies economists predict 1.2 million jobs were added.
“The range is 1.2 million to 350,000. That just tells you there’s very little confidence in those numbers,” Wells Fargo director of rates strategy Michael Schumacher said.