Well, the COVID hysteria from the Biden Administration and the media preparing us for a horrible jobs report was … incorrect. In fact, the January jobs report was “exceptional”. 467,000 jobs were added and average hourly earnings growth ROSE to 5.7% YoY.
The bad news? Thanks to surging inflation, REAL average hourly earnings growth YoY FELL to -2.36%.
Unemployment ROSE to 4.0% from 3.9% as more people dropped out of the labor force in January. On the bright side, labor force participation rate rose to 62.2% from 61.9%.
![](https://confoundedinterestnet.files.wordpress.com/2022/02/jobsf02042022.png?w=736)
Leisure and hospitality employment (one of the most vulnerable to inflation) expanded by 151,000 in January, reflecting job gains in food services and drinking places (+108,000) and in the accommodation industry (+23,000).
The reaction in the bond market? US 10-year yields are up 6.9 basis points as Eurozone is up across the board.
![](https://confoundedinterestnet.files.wordpress.com/2022/02/wbm020422.png?w=736)
Energy prices are up (except natural gas futures).
![](https://confoundedinterestnet.files.wordpress.com/2022/02/glco020422.png?w=736)
Another day in inflationville.
![](https://confoundedinterestnet.files.wordpress.com/2022/02/margaritaville01-1024xx1200-675-0-62.jpg?w=1024)