Goldman’s chief economist: Strong jobs numbers don’t look sustainable
The strong U.S. jobs numbers don’t look sustainable but wages are likely to increase, said Jan Hatzius, chief economist at Goldman Sachs.
Hatzius spoke after the Labor Department said Friday that the U.S. economy added 209,000 jobs in July and the unemployment rate fell to 4.3 percent from 4.4 percent, the lowest since March 2001. The number of employed Americans hit a new high of 153.5 million.
“All of it looks quite solid from the demand side but what’s not sustainable is to see these kinds of numbers with the unemployment rate as low as it is, U6 as low as it is,” Hatzius said Friday on CNBC’s “Squawk on the Street.”
“I’m not saying it’s going to stop in the next few months but we’re not going to be able to sustain that kind of job growth in the long term. I think the trend is probably below (100,000).”