The Bureau of Labor Statistics (BLS) released the July 2018 employment report today (full pdf with tables below) highlighting continued growth in jobs.  Overall private employment gained 170,000 jobs, while government employment decreased 13,000 jobs for a net gain of 156,000 new jobs.   The BLS unemployment rate dropped to 3.9%.
[*Note this footnote:  “The change in total nonfarm payroll employment for May was revised up to +268,000, and the change for June was revised up to +248,000. With these revisions, employment gains in May and June combined were 59,000 more than previously reported.”]  Huh, funny that…. some revision eh?
July’s labor participation is holding steady at 62.9%, with 155,965,000 employed within the U.S. workforce. (Table A-1)
Blue and White-collar Main Street jobs continue to lead the MAGAnomic resurgence. (table B-1) Construction jobs increased 19,000 jobs; manufacturing gained 37,000 jobs; and trade/transportation and utilities gaining 15,000.
With extra cash in their pockets, the U.S. worker/consumer continued to spend and retail employment added 7,100 new workers in July.   (Table B1) Interestingly, and reinforcing a long-ago CTH prediction, the consumer spending growth (leading to increases in employment) is specifically in the consumable goods sector (food, clothing, etc.).   This is connected to the increase in work-time (table B2); an oft overlooked aspect to the economy.
Truck transportation gained 4,400 jobs in July (everyone needs truckers), which is in line with the high wage growth (3.4%) within this sub-set of the transportation industry.

(more…)

Interestingly Reuters uses the narrative from an anonymous Canadian “official” to frame an article about how global car manufacturers are coming together next week in Geneva to coordinate their strategy against the United States and President Trump.
Just let that part sink in for a moment…

Behind that context we can clearly see: 1) the economic importance of the Auto industry to the countries that are assembling; 2) their multinational corporate interest in retaining unlimited access to the U.S. market; and 3) the absolute need of all assembling corporations to find a way to keep their investments in NAFTA’s fatal flaw viable.
Who is gathering?  Canada, Mexico, the EU (ie. Germany), Japan and South Korea.
Where are they going?  To visit Geneva, Switzerland.  Why Geneva? Because that way China can attend (see Volvo/Sweden) without being on the official roster.  ::nudge, nudge:: ::wink, wink::  ::say-no-more Panda boy, say-no-more::  Additionally, Cecelia Malmström (EU Trade Minister), is the person Canada is relying upon to cover their anti-Trump position:

MEXICO CITY/OTTAWA (Reuters) – Canada, the European Union, Japan, Mexico and South Korea will meet in Geneva next week to discuss how to respond to threats by U.S. President Donald Trump to impose tariffs on U.S. imports of autos and car parts, officials familiar with the talks said.

(more…)

It is more than likely President Trump and Commerce Secretary Wilbur Ross knew this was in the making several months ago.  In hindsight it now appears Germany presented a false proposal to U.S. Ambassador Richard Grenell intentionally to poke him in the eye.
Germany has sealed the fate of their auto-industry with a multi-company agreement to manufacture vehicles in China and share all their intellectual processes therein.

FRANKFURT (Reuters) – German companies signed a series of agreements with Chinese partners at a meeting of Chancellor Angela Merkel and Prime Minister Li Keqiang in Berlin on Monday, according to a document seen by Reuters. Following are details of them:
♦BASF signed a Memorandum of Understanding (MoU) with China’s Guangdong Province to look at building a highly-integrated chemical production site there, BASF said.

(more…)

The Bureau of Labor Statistics presents the latest snapshot of jobs and employment.  According to the BLS data, behind the 213,000 jobs added, the most significant gains all center around growth in durable goods, manufacturing, transportation/distribution and the ancillary business services directly connected to the blue collar sector.
In addition, April was revised up from +159,000 to +175,000, and the change for May was revised up from +223,000 to +244,000. With these revisions, employment gains in April and May combined were 37,000 more than previously reported.

In the macro-review things are looking great; however, when you go into the micro-review you discover things are even better, they are MAGAnificent.
To understand what is happening we must all remember the Trump MAGAnomic policies are geared toward enhancing the creation of “goods”; the production of physical “stuff”; the manufacturing and durable good sector; or put another way: Main Street/Blue Collar work.   MAGAnomic policy is geared toward expanding the production base of the U.S. economy.  Therefore all majority benefit will be necessarily attached to those workers and industries that are part of the expanding production base.
(more…)

Pontificating economic globalists are stuck between empirical good news and their preferred anti-Trump tariff narrative.  Economic media like the Wall Street Journal are filled with angst, as Trump’s manufacturing MAGAnomics continues to destroy their decades-long talking points and globalist preferences.

The analysis of June factory and manufacturing indicators from the Institute for Supply Management (ISM) highlight an expanding reality: increased production, increased new orders, increased employment, and demand outpacing supplies and transportation capacity.  Yes, all of this means the Main Street U.S. economic engine is firing on all cylinders.  We can only imagine what the Q2 numbers will reflect when it’s all rolled up.

ISM DATA – “Comments from the panel reflect continued expanding business strength. Demand remains strong, with the New Orders Index at 60 percent or above for the 14th straight month, and the Customers’ Inventories Index remaining low. The Backlog of Orders Index continued to expand, reading at 60 percent of higher for the third consecutive month. Consumption, described as production and employment, continues to expand in spite of labor, skill and material shortages.

What does this mean in blue collar language?  Short term: OVERTIME pay folks…. maximum earnings possibilities as demand for factory and manufacturing has all employment working maximum production shifts. Long term: upward wage pressure, jobs, jobs, jobs.
For the Truck Drivers?  Work, work, work.  You got a rig, they need it hauled. Everywhere.
(more…)

The official announcement is coming momentarily.  All other candidates have conceded.  Looks like Andrés Manuel López Obrador, an avowed soft-Marxist, will EASILY end up with 53 to 59% of the vote and is the next President of Mexico:
Primary platform points:  ♦Amnesty to all drug cartels.  ♦No longer will work with U.S. immigration enforcement.  ♦Nationalize oil industry.  ♦Farm subsidies. ♦Elimination of multinational corporate influence on farming.  ♦Support and assistance for economic growth plan: using •mass migration of Mexican nationals into Southern U.S., •create AmeriMex border region, and •remittance of earnings back to Mexico as initiative for rapid domestic economic growth.
(more…)

Immediately before lunch with members from congress, President Trump delivers remarks in response to the Supreme Court removing a challenge to the administration travel restrictions and vetting process. In a 5-4 decision the Supreme Court upheld the president’s authority to restrict travel from countries who are not compliant with U.S. vetting requirements.
UPDATED Video ADDED

The Supreme Court has upheld President Trump travel restrictions and rejected the challenge to the Trump administration’s September 2017 travel ban. (full ruling pdf below). Response from the White House – Statement from the President Regarding Supreme Court Ruling:

Today’s Supreme Court ruling is a tremendous victory for the American People and the Constitution. The Supreme Court has upheld the clear authority of the President to defend the national security of the United States.
In this era of worldwide terrorism and extremist movements bent on harming innocent civilians, we must properly vet those coming into our country. This ruling is also a moment of profound vindication following months of hysterical commentary from the media and Democratic politicians who refuse to do what it takes to secure our border and our country.
As long as I am President, I will defend the sovereignty, safety, and security of the American People, and fight for an immigration system that serves the national interests of the United States and its citizens. Our country will always be safe, secure, and protected on my watch.  ~ President Donald Trump

(more…)

President Trump delivers remarks at a meeting with the National Space Council:

The essential argument made by Prime Minister Justin Trudeau during this interview was already addressed in the preview segment prior to broadcast – SEE HERE –  However, here is the full interview as broadcast on NBC Meet The Press with Chuck Todd.

The interview is a typical narrative engineering attempt by Chuck Toad; however, beyond the narrative, for those who pay close attention to the economic issues, there are some key elements which deserve attention:

• @04:05 Trudeau admits the problem with corporate transshipment of Chinese Steel into the U.S. market – through Canada via the NAFTA loophole.  While Justin from Canada frames the issue from their own national efforts to stop the practice, you’ll note how he avoids taking ownership…. it’s called ‘willful blindness‘.
• More importantly at @08:17 the topic of NAFTA surfaces. Pay close attention.  Not only does Trudeau speak in past tense (reinforcing the reality that all parties have accepted that NAFTA is essentially dead), but moments later @09:00 he admits the Canadian trade and manufacturing economy is set up as a brokerage (ie. multinational corporate investment) dependent, exclusively dependent, on access to the U.S. market.

WATCH:

.

Once you see the strings on the marionettes, you can never go back to a time when you didn’t notice them.

(more…)