The U.S. economy added 138,000 jobs in May, the New York Times reports. Economists had expected a gain of about 185,000 jobs.
The unemployment rate fell to 4.3 percent, the lowest since 2001.
Axios: “The most revealing moment of President Trump’s announcement that he is withdrawing from the Paris climate deal came in an off-hand response of a White House official after Trump’s speech. Asked whether Trump thinks climate change is real, the official said: ‘Can we stay on topic?'”
“To the Trump administration, the Paris climate deal has nothing to do with climate change. It’s an economic issue. To Trump, withdrawing from the accord represents a triumph of populist America over greedy globalism.”
“Unlike other policy goals (healthcare and tax reform) Trump isn’t even acknowledging climate change is a problem. That makes his overtures about being open to renegotiate and re-enter the Paris deal suspect.”
“A Wall Street Journal analysis shows that since the 1990s, sparsely populated counties have replaced large cities as America’s most troubled areas by key measures of socioeconomic well-being—a decline that’s accelerating.”
“In terms of poverty, college attainment, teenage births, divorce, death rates from heart disease and cancer, reliance on federal disability insurance and male labor-force participation, rural counties now rank the worst among the four major U.S. population groupings (the others are big cities, suburbs and medium or small metro areas).”
“In fact, the total rural population—accounting for births, deaths and migration—has declined for five straight years.”
Business Insider: “America’s share of international tourism has dropped 16% in March, compared to the same month in 2016.”
“The decline began in October 2016, the month before the presidential election. From October to March, tourism-related traffic has fallen an average of 11% in the US, compared to the previous year. Meanwhile, tourism in the rest of the world has increased 6% year-over-year during the same period.”
The Economist interviewed President Trump, who claimed he came up with a new phrase:
ECONOMIST: But beyond that it’s OK if the tax plan increases the deficit?
TRUMP: It is OK, because it won’t increase it for long. You may have two years where you’ll… you understand the expression “prime the pump”?
TRUMP: We have to prime the pump.
ECONOMIST: It’s very Keynesian.
TRUMP: We’re the highest-taxed nation in the world. Have you heard that expression before, for this particular type of an event?
ECONOMIST: Priming the pump?
TRUMP: Yeah, have you heard it?
TRUMP: Have you heard that expression used before? Because I haven’t heard it. I mean, I just… I came up with it a couple of days ago and I thought it was good. It’s what you have to do.
Commerce Secretary Wilbur Ross told Reuters the U.S. economy won’t achieve the Trump administration’s 3 percent growth goal this year and not until all of its tax, regulatory, trade and energy policies are fully in place.
Said Ross: “The Congress has been slow-walking everything. We don’t even have half the people in place.”
“The pace of hiring picked up again in April and the unemployment rate fell to the lowest level in nearly a decade, providing reassurance the broader economy is poised for a strong spring after a lackluster start to the year,” the Wall Street Journal reports.
“The unemployment rate for April edged down to 4.4% from the prior month’s 4.5% reading. The unemployment rate hasn’t been this low since May 2007, and that matched the lowest rate of any point during the prior expansion.”
The Commerce Department said the U.S. economy barely grew in the first quarter of 2017, expanding at an annual rate of only 0.7 percent.
New York Times: “The first-quarter performance upset expectations for a Trump bump at the start of 2017. The economy’s weakness reflected new caution among consumers. Other sectors like housing and business investment turned in a stronger showing, but not enough to offset factors like weaker retail sales.”
Associated Press: “The slowdown primarily reflected slower consumer spending, which grew by just 0.3 percent. That was the poorest showing in more than seven years.”
President Trump “was set to announce Saturday, on the 100th day of his presidency, that he was withdrawing from the North American Free Trade Agreement — the sort of disruptive proclamation that would upend both global and domestic politics and signal to his base that he was keeping his campaign promise to terminate what he once called ‘a total disaster’ and ‘one of the worst deals ever,'” the Washington Post reports.
Said Trump: “I was all set to terminate. I looked forward to terminating. I was going to do it.”
“There was just one problem: Trump’s team — like on so many issues — was deeply divided.”
President Trump said he “was preparing to pull out of the North American Free Trade Agreement in coming days but changed his mind after his counterparts in Mexico and Canada called him and asked him to instead renegotiate the pact,” the Wall Street Journal reports.
“The White House is considering withdrawing from NAFTA in the coming days, though President Donald Trump has not yet decided how to proceed,” CNN reports.
Politico: “A draft order has been submitted for the final stages of review and could be unveiled late this week or early next week, the officials said. The effort, which still could change in the coming days as more officials weigh in, would indicate the administration’s intent to withdraw from the sweeping pact by triggering the timeline set forth in the deal.”
“Americans’ support for immigration and free trade hit record highs in a new Wall Street Journal/NBC News survey, just three months after the inauguration of a president who pledged to curtail both.”
“Six in 10 Americans said immigration helps the nation more than it hurts—up 6 points since the last sounding, in September 2016…. Support for free trade rose slightly in the latest survey, with 57% saying it is beneficial for the U.S. and 37% saying it isn’t—a gap of 20 points, and a record level of support.”
“The U.S. has set the stage for a global showdown over steel, launching a national security investigation that could lead to sweeping tariffs on steel imports in what would be the first significant act of economic protectionism by President Trump,” the Financial Times reports.
“The decision to use a 1962 law allowing the US government to limit imports that threaten its security readiness is intended to deliver on Mr Trump’s campaign promises to bolster heavy industry and ‘put new American steel into the spine of this country’… But it risks setting off trade tensions with China just days after Mr Trump avoided another conflict by backing down on a promise to label Beijing a currency manipulator, citing in part its help in dealing with North Korea.”
New York Times: “From Mr. Trump’s ‘buy American, hire American’ rallying cry in Wisconsin this week to Vice President Mike Pence’s warnings to Japan and South Korea about the need to rewrite trade deals, the Trump administration is moving against free trade on multiple fronts.”
Milwaukee Journal Sentinel: “Trump’s election did more than change the expectations of Republicans and Democrats about the economy’s future performance. It altered their assessments of the economy’s actual performance.”
“When GOP voters in Wisconsin were asked last October whether the economy had gotten better or worse ‘over the past year,’ they said ‘worse’ — by a margin of 28 points. But when they were asked the very same question last month, they said ‘better’ — by a margin of 54 points. That’s a net swing of 82 percentage points between late October 2016 and mid-March 2017.”