Non-agricultural employment data usually refers to the US non-agricultural employment rate, which is released together with the unemployment rate. The release time is usually the first Friday of each month at 20:30 Beijing time. The development and growth of the service industry, the reduction in numbers means that companies reduce production and the economy is entering a recession.
When the social economy is fast, consumption will naturally increase, and jobs in consumer and service industries will also increase. When non-farm payroll numbers increase significantly, it indicates a healthy economic situation, which should theoretically be positive for the exchange rate and may herald higher interest rates, which in turn prompt the foreign exchange market to push the value of the country’s currency more, vice versa. Therefore, this data is an important indicator to observe the degree and status of socio-economic and financial development. Non-agricultural employment is an item in the employment report, which mainly counts changes in jobs other than agricultural production.
The importance of non-farm data
No economic indicator has roiled stock and bond markets like the jobs report. Why is that? First, the employment situation report is very timely, coming out just a week past the month under observation. Second, the report is informative and specific on the job market and household income, information useful for forecasting the economy. Third, let’s face it — we’re talking about the welfare of American workers. Wages and salaries from employment constitute the main source of income for households. For a detailed explanation of the consultation group 227359519, indicate: Xiang Qianyi. The more workers earn, the more they buy, and the more they push the economy forward. If fewer people are working, it will cause spending to fall and businesses suffer. Since household spending accounts for two-thirds of the economy, you should see why the investment community pays such close attention to the employment situation report.
There’s another reason the employment situation report has so much control over financial markets: The employment figures often surprise people. If there is little information for the month, it will make it difficult for experts to predict job losses. The highlight of the employment situation report is of course the unemployment rate, the percentage of society’s workforce that is not employed. What do we mean by the social workforce? It is defined as all employed and unemployed persons over the age of 16 (excluding the population in the military, prisons, mental institutions, nursing homes). Economists measure monthly changes in the job market based on two different sources. One is based on household surveys, which are telephone and letter interviews of households conducted by the government. Another is the agency (payroll) survey, which consults directly with businesses on recent staffing changes. Taken together, these two provide a general picture of the labor market—and, more generally, of the economy.