In August, employment growth in the US amounted to 142,000, which was slightly below expectations (consensus 165,000, Commerzbank forecast 150,000), notes Dr. Christoph Balz, senior economist at Commerzbank.

The job market continues to raise concerns

“The U.S. labor market barely recovered in August from a disappointing July report, with 142,000 new jobs added while the unemployment rate fell to 4.2%. However, job gains in June and July were revised down by a combined 86,000.”

“The labor market remains a concern, then. The Federal Reserve is likely to cut interest rates on Sept. 18. But the report provides no clear indication of whether policymakers will favor a 25-basis-point or 50-basis-point move.”