U.S. Politics

[Rick Plant]

This thread is for discussion on United States politics: which includes local, state, and federal elections, important political issues, political news, and the Biden Administration.   

[Rick Plant]

President Biden is moving the country forward and is cleaning up the Trump economic disaster that devastated America.

ADP: Employers Added 571,000 Jobs in October, Beating Expectations:
Large companies in the services sector powered the strong monthly performance.

November 3, 2021

Employers added 571,000 jobs in October, above expectations, according to a monthly survey released Wednesday by private payroll firm ADP.

Gains were strongest among large companies, with increases of 342,000, and heavily concentrated in the services sector of the economy, with 458,000 new hires. The leisure and hospitality industry added 185,000 jobs.

Economists had been looking for 400,000 jobs to be created following September's increase of 568,000.

"The labor market showed renewed momentum last month, with a jump from the third quarter average of 385,000 monthly jobs added, marking nearly 5 million job gains this year," said Nela Richardson, chief economist, ADP. "Service sector providers led the increase and the goods sector gains were broad based, reporting the strongest reading of the year. Large companies fueled the stronger recovery in October, marking the second straight month of impressive growth."

Mark Zandi, chief economist of Moody's Analytics, which helps ADP prepare the report, said, "The job market is revving back up as the Delta-wave of the pandemic winds down. Job gains are accelerating across all industries, and especially among large companies. As long as the pandemic remains contained, more big job gains are likely in coming months.

The report comes two days before the Labor Department issues the monthly jobs numbers for October, with economists expecting close to 400,000 new jobs added in the month following September's disappointing 194,000 reading.

The labor market has been recovering, albeit unevenly, from the effects of the coronavirus which saw 22 million Americans lose their jobs in April of last year. The unemployment rate, meanwhile, has fallen to 4.8%.

But companies say they find it difficult to find workers and are having to pay higher wages and offer flexible schedules to attract jobseekers. Nonetheless, companies continue to post jobs and say they expect robust hiring ahead.

Data from HireVue, a firm that provides businesses with virtual interviewing technology, says interviews picked up in October, with tech companies seeing the biggest increase, completing 66.3% more interviews than in September, with retailers completing 64.7% more interviews.

A separate report from ADP found that wage growth, which picked up sharply following the pandemic, is now returning to more normal levels. Wages grew 3.3% during the third quarter overall, but for job switchers the pace was double at 6.6%.

The health of the job market is one of two factors the Federal Reserve Board is considering as it decides when to begin "tapering" its $120-billion-per-month purchases of Treasuries and mortgage-backed securities. The central bank is widely expected to announce later Wednesday that it will cut that amount by $15 billion a month with a goal of ending the pandemic-era program by the middle of next year.

The other factor is inflation and there the news is not as sanguine. Consumer prices have been running about 5% higher year over year in 2021 and there are indications an inflation mindset has begun to set in that could make the Fed's job more difficult going forward.

It also complicates the political situation in Washington as President Joe Biden seeks to pass twin infrastructure bills with a razor-thin margin in Congress, which now seems even more in peril following Tuesday's election results which saw a Republican take the Virginia governor's race and a closer-than-expected contest for governor in the reliably Democrat state of New Jersey.

"An unmorring of inflation expectations can be self-fulfilling and self-perpetuating," economists Joseph LaVorgna and Troy Ludtka of Natixis CIB wrote Tuesday. "University of Michigan 5-year ahead inflation expectations have risen to a 10-year high but are still within their long-term range."

"However, the New York Fed's consumer price series has bounded higher," they added. "Is the U of M series headed for an upside breakout? We think so."

https://www.usnews.com/news/economy/articles/2021-11-03/adp-employers-added-571-000-jobs-in-october-beating-expectations


Companies add 571,000 jobs in October thanks to a big boost in hospitality hires, ADP says

Companies added 571,000 jobs for the month, beating the 395,000 Dow Jones estimate.

Leisure and hospitality led the way with 185,000 new positions.

Large businesses were by far the biggest creators, adding 458,000

Private sector job creation popped higher in October thanks to a burst in hiring in the hospitality sector, payroll processing firm ADP reported Wednesday.

Companies added 571,000 for the month, beating the 395,000 Dow Jones estimate and just ahead of September’s downwardly revised 523,000. It was the best month for jobs since June.

Leisure and hospitality, a category that includes bars, restaurants, hotels and the like, saw a gain of 185,000 for a sector that remains well below its pre-pandemic employment level. The sector is seen as a proxy for an economic recovery that stalled over the summer due to a rise in the Covid delta variant and a massive clog in supply lines.

“The job market is revving back up as the delta wave of the pandemic winds down,” said Mark Zandi, chief economist at Moody’s Analytics, which aids ADP in compiling the report. “Job gains are accelerating across all industries, and especially among large companies. As long as the pandemic remains contained, more big job gains are likely in coming months.”

Growth in the sector helped fuel an overall 458,000 gain in services jobs.

Professional and business services also contributed 88,000 hires, trade transportation and utilities added 78,000, and education and health services jobs were up 56,000.

On the goods-producing side, which added 113,000 positions, construction was up 54,000 and manufacturing contributed 53,000.

From a size standpoint, businesses with more than 500 employees by far led the way with 342,000 new hires. Businesses with fewer than 50 workers added 115,000 and medium-sized firms increased by 114,000.

The ADP report comes two days before the Labor Department’s more closely watched nonfarm payrolls count, which is projected to show an increase of 450,000, according to Dow Jones.

While ADP can serve as a precursor to the government’s count, the two can differ widely.

In September, ADP’s tally of private payroll creation – initially at 568,000 before being revised lower by 45,000 – was well above the Labor Department’s 317,000. The total nonfarm payrolls count for September was just 194,000, well below estimates and held back by a loss of 123,000 government jobs.

https://www.cnbc.com/2021/11/03/private-payrolls-up-571000-in-october-on-jump-in-hospitality-hires-topping-395000-estimate-.html

[Rick Plant]

An excellent October jobs report confirms President Biden is moving America forward by exceeding expectations with more news jobs created in a month with 531,000 and a better than expected unemployment number dropping to 4.6%.

Job creation roars back in October as payrolls rise by 531,000

November 5, 2021

Nonfarm payrolls increased by 531,000 in October, beating the estimate of 450,000.

The unemployment rate fell to 4.6%, a new pandemic low and better than expectations.

Wages rose 0.4% for the month and were up 4.9% from a year ago.

Leisure and hospitality led job creation, followed by professional and business services and manufacturing.

The U.S. job market snapped back in October, with nonfarm payrolls rising more than expected while the unemployment rate fell to 4.6%, the Labor Department reported Friday.

Nonfarm payrolls increased by 531,000 for the month, compared with the Dow Jones estimate of 450,000. The jobless rate had been expected to edge down to 4.7%.

Private payrolls were even stronger, rising 604,000 as a loss of 73,000 government jobs pulled down the headline number. October’s gains represented a sharp pickup from September, which gained 312,000 jobs after the initial Bureau of Labor Statistics estimate of 194,000 saw a substantial upward revision in Friday’s report.

The numbers helped allay concerns that rising inflation, a severe labor shortage and slowing economic growth would tamp down jobs creation.

“This is the kind of recovery we can get when we are not sidelined by a surge in Covid cases,” said Nick Bunker, economic research director at job placement site Indeed. “If this is the sort of job growth we will see in the next several months, we are on a solid path.”

Markets rallied strongly on the news, with the Dow up nearly 350 points in early trading and government bond yields mostly lower.

The critical leisure and hospitality sector led the way, adding 164,000 as Americans ventured out to eating and drinking establishments and went on vacations again as Covid numbers fell during the month. For 2021, the sector has reclaimed 2.4 million positions lost during the pandemic.

Other sectors posting solid gains included professional and business services (100,000), manufacturing (60,000), and transportation and warehousing (54,000). Construction added 44,000 positions while health care was up 37,000 and retail added 35,000.

Wages increased 0.4% for the month, in line with estimates, but rose 4.9% on a year-over-year basis, reflecting the inflationary pressures that have intensified through the year. The average work week edged lower by one-tenth of an hour to 34.7 hours.

The unemployment rate drop came with the labor force participation rate holding steady at 61.6%, still 1.7 percentage points below its February 2020 level before the pandemic declaration. That represents just shy of 3 million fewer Americans considered part of the workforce and is reflective of ongoing concerns about staffing levels.

“While the strength of employment was an encouraging sign that labor demand remains strong, labor supply remains very weak. The labor force rose by a muted 104,000, which is not even enough to even keep pace with population growth,” said Michael Pearce, senior U.S. economist at Capital Economics.

However, one metric that the Federal Reserve watches closely, the participation rate among so-called prime age workers 25 to 54, ticked higher to 81.7%.

Treasury Secretary Janet Yellen weighed in on the report with a Twitter thread Friday afternoon in which she said the administration’s aggressive fiscal policies that have pumped in more than $5 trillion to the economy helped stave off more dire consequences from the pandemic.

“Bold fiscal policy works,” Yellen wrote. “A rebound like this was never a foregone conclusion. When our administration took office back in January, there was a real risk that our economy was going to slip into a prolonged recession. Now our recovery is outpacing other wealthy nations’.”

https://www.cnbc.com/2021/11/05/jobs-report-november-2021.html


Big rebound in jobs: America adds 531,000 jobs to the economy in October

November 5, 2021

America's jobs recovery gathered some steam last month as US employers added 531,000 positions in October.

The unemployment rate fell to 4.6%, the lowest level since the economic recovery started in May 2020.
The number of jobs added in October easily outpaced economists' prediction of 450,000 jobs. It marked the first month since July that the official number didn't undercut the consensus estimate.

The US economy gained jobs across the board last month, with leisure and hospitality, manufacturing and transportation and warehousing leading the job gains. The leisure and hospitality sector was hit hardest during the pandemic recession and is still 1.4 million jobs short of its pre-pandemic level.

October's jobs report marks a turning point after two months of sluggish job gains, slowed by rising coronavirus cases as the Delta variant raged across the globe.

"This is the kind of recovery we can get when we are not sidelined by a surge in Covid cases," said Nick Bunker, economic research director at Indeed.

"The labor market is not yet fully recovered from the coronavirus-induced recession. But today's report is a sign that recovery could be closer than many thought," he said.

The nation has come a long way since the height of the pandemic. More than 18 million jobs have been added back since the recovery started, still leaving America short 4.2 million jobs compared with February 2020.

And the late summer months weren't quite as bad as they initially appeared: The Labor Department revised August and September's reports higher by a combined 235,000 jobs. The US economy added 795,000 jobs in August and September -- not bad for a so-called lull.

https://www.cnn.com/2021/11/05/economy/october-jobs-report/index.html

October jobs report: Payrolls grew by 531,000 as unemployment rate fell to 4.6%
https://news.yahoo.com/october-2021-jobs-report-labor-department-hiring-covid-shortages-180531280.html

[Rick Plant]

Great news all around as the stock market soars to a record high level.

Dow jumps 200 points to a record on strong jobs report, S&P 500 notches 7th straight day of gains

November 5, 2021



U.S. stocks rallied to record levels on Friday after the October jobs report came in better than expected, boosting optimism about the economic recovery.

A major development from Pfizer regarding its easy-to-administer Covid-19 pill fueled hope for a smooth reopening further, sending shares of airlines and cruise line operators soaring.

The Dow Jones Industrial Average rose 203.72 points, or nearly 0.6%, to 36,327.95. The S&P 500 gained 0.4% to 4,697.53 for its seventh straight positive day. The tech-heavy Nasdaq Composite edged up 0.2% to 15,971.59. All three major averages reached their respective record closing highs.

The move for stocks came as data showed job gains for the month of October totaled 531,000. Consensus estimates called for 450,000 jobs added, according to Dow Jones. The report also revised September’s disappointing number up to 312,000 job gains from 194,000 previously, and increased its August number by a similar amount.

“Markets are cheering a much better than expected jobs report this morning as nonfarm payrolls smashed expectations,” said Cliff Hodge, chief investment officer at Cornerstone Wealth. “Gains were broad-based across industries, and manufacturing was a real bright spot.”

All three major averages notched a winning week. The S&P 500 gained 2% this week, pushing its 2021 gains to 25%. The Dow rose 1.4% this week, while the Nasdaq rallied nearly 3.1% for its best weekly performance since early April.

Pfizer shares surged nearly 11% after the company said its Covid-19 drug, used with an HIV drug, cut the risk of hospitalization by 89%. Pfizer board member Dr. Scott Gottlieb said Friday that the pandemic could be over in the U.S. by the time President Biden’s workplace vaccine mandates take effect in early January.

The news boosted classic reopening plays. United Airlines shares jumped more than 7%, while American Airlines popped 5.7%. Carnival and Royal Caribbean rallied more than 8% each, while Norwegian Cruise Line advanced 7.8%.

Recovery stock Expedia saw its shares roar higher by 15.6% a day after the company said renewed travel demand boosted its top and bottom lines higher than analysts had expected.

“The labor market recovery is back on track, but it will still take several months to get to maximum employment,” said Edward Moya, senior market analyst at Oanda. “Alongside the Pfizer COVID pill news, this strong [jobs] report should ease some of the supply chain problems and that will make some investors embrace the reopening trade.”

Peloton shares cratered more than 35% after the fitness platform and maker of interactive treadmills and exercise bikes reported a much larger loss than expected and cut its full-year outlook as fitness buffs headed back to the gym and away from at-home workouts.

The company also cited ongoing supply chain challenges for its “challenged visibility” over the near term that CEO John Foley said is causing the company to lower its expectations.

Earlier this week, investor digested the Federal Reserve’s plan to begin tapering its pandemic aid by the end of November, putting the central bank on track to end its asset purchase program by the middle of next year.

https://www.cnbc.com/2021/11/04/stock-market-futures-open-to-close-news.html

[Rick Plant]

The GOP once again proves just how racist they are.

Newly elected New Jersey Republican posted photo of himself in blackface — and isn't sorry



On Friday, The Daily Beast reported that Vincent Kelly, a Republican who was just elected to the town council of Pitman, New Jersey, is facing outrage over a newly surfaced Facebook post of him in blackface — and that he is declining to apologize for it.

"Vincent Kelly, a white GOP candidate who won the Pitman city council elections, had posted a photo depicting him dressed as rapper Flavor Flav at what appeared to be a Halloween party on his Facebook page," reported Corbin Bolies. "The 2015 photo, which still remains on Kelly's page, drew condemnation from the Pitman Anti-Racist Collective, which called for an apology from Kelly Thursday night."

According to the report, Kelly is pushing back on the criticism.

"I didn't put blackface on," said Kelly to the Daily Journal. "I went to a costume party. And it came … with it. This is what you got with it. That's what I did. There was no intention to do blackface, or to belittle African Americans, or anything like that. It was a simple Halloween party."

This controversy comes amid multiple other incidents of local politicians being caught wearing blackface in old pictures. A Republican school board candidate in Monroe, Connecticut, insisted that there was "nothing racist about" his costume depicting Miami Vice Detective Ricardo Tubbs, and a white town councilman in Richmond County, Virginia compared himself to recently controversial Black comedian Dave Chappelle after criticism for a photo of him dressed as musician Randy Watson.

https://www.rawstory.com/republican-blackface/

[Rick Plant]

University of Florida backs down -- and now will let professors testify against DeSantis administration



Professors at the University of Florida will now be able to testify against Gov. Ron DeSantis's administration after having been previously been blocked by their employer from doing so.

The Washington Post reports that the University of Florida backed down on Friday and "should not be barred from testifying in a voting rights lawsuit against" DeSantis's administration.

The initial decision to block the three political science professors from testifying drew an uproar from both faculty and alumni, who accused the university of bowing to political pressure and of suppressing their professors' freedom of speech.

Kenneth Nunn, a law professor at the university, welcomed the school's reversal and said that "it's great that the president saw the university's reputation was being damaged by their unfortunate decision to restrict those three faculty members from testifying in their case."

The professors will now be testifying in a lawsuit against a Florida law passed earlier this year that places new restrictions on mail-in voting and ballot drop boxes.

https://www.rawstory.com/university-of-florida-desantis/

[Rick Plant]

House passes $555 billion infrastructure bill, sends legislation to Biden's desk: The 228-206 vote hands Biden a bipartisan legislative victory

The House passed a $555 billion infrastructure bill on Friday night, sending the legislation to President Joe Biden who is expected to quickly sign the measure into law.

The funding package, which passed 228 to 206 and relied on Republican votes to get across the finish line, will ramp up government spending on roads, bridges and airports, as well as funding for public transit, water and broadband.

Six Democrats voted against the measure and 13 Republicans voted in favor. The Democratic opposition was progressive members who were unhappy that the bill was being voted on before passage of a $1.75 trillion social safety net spending bill.

The vote hands Biden a victory on a major bipartisan bill, but one that took months to get through Congress and revealed deep divisions in the Democratic Party. The Senate approved the bill in August before it stalled for months as House progressives clashed with Democratic centrists on a $1.75 trillion social safety net measure that could get a vote later this month.

Earlier on Friday, Biden put new pressure on House Democrats to pass both the infrastructure package and the social policy measure, also known as the Build Back Better bill.

“I'm asking every member of the House of Representatives to vote yes on both these bills right now,” Biden said during remarks from the White House. “Send the infrastructure bill to my desk, send the Build Back Better bill to the Senate. Let's build on incredible economic progress, build on what we've already done because this will be such a boost when it occurs.”

House leadership later decided to push back the vote on the safety net bill due to several moderates insisting on first seeing a Congressional Budget Office cost estimate of the legislation to ensure the bill is fully paid for. Democrats cannot afford to lose more than a handful defections given their narrow majority in the House.

Progressives, however, wanted the infrastructure package to be linked to the social spending plan out of concern that passing infrastructure first would weaken their leverage in shaping and advancing the Build Back Better bill.

Democrats are now aiming to vote on the safety net bill before Thanksgiving. House passage would send the legislation to the Senate, where it will need the support of all 50 Democrats to find its way to Biden's desk.

On the House floor, shortly before the vote, Pelosi called both bills as “historic,” saying they will create millions of jobs and help working families.

In August, the Senate voted 69 to 30 to pass the infrastructure bill, with 19 Republicans joining all Democrats.

The spending package would provide new federal spending on bridges and roads, as well as energy systems and transit programs. It would create a program aimed at building and repairing bridges in rural communities, and one to expand internet connectivity in Tribal and rural communities. The bill would further provide funding to protect water systems, particularly in low-income communities.

The Congressional Budget Office estimates the legislation would add $256 billion to the federal deficit over a 10-year span.

https://www.nbcnews.com/politics/congress/house-passes-555-billion-infrastructure-bill-sends-legislation-biden-s-n1280527

[Rick Plant]

Democrats are moving the country forward while Republicans once again vote against Americans. Republicans have no interest in working for the American people as their allegiance is for billionaires and corporations. There were 13 Republicans that did vote to pass this bill so they deserve all the credit for making this happen. But their party as a whole is disgraceful. 6 Democrats should be ashamed of themselves for voting against this historic bill that benefits ALL Americans.     

House passes $1 trillion bipartisan infrastructure bill that includes transport, broadband and utility funding, sends it to Biden

The House passed a more than $1 trillion bipartisan infrastructure bill, sending it to President Joe Biden for his signature.

The legislation would put $550 billion in new funding into transportation, broadband and utilities.

The House passed a more than $1 trillion bipartisan infrastructure bill late Friday, sending it to President Joe Biden’s desk in a critical step toward enacting sprawling Democratic economic plans.

The Senate approved the revamp of transportation, utilities and broadband in August. The legislation’s passage is perhaps the unified Democratic government’s most concrete achievement since it approved a $1.9 trillion coronavirus relief package in the spring.

The measure passed in a 228-206 vote. Thirteen Republicans supported it, while six Democrats voted against it. Biden could sign the bill within days.

Washington has tried and failed for years to pass a major bill to upgrade critical transportation and utility infrastructure, which has come under more pressure from extreme weather. The White House has also contended passage of the bill can help to get goods moving as supply-chain obstacles contribute to higher prices for American consumers.

The vote Friday followed a day of wrangling over how enact the two planks of the party’s agenda. The push-and-pull exemplified party leaders’ months long struggle to get progressives and centrists — who have differing visions of the government’s role in the economy — behind the same bills.

Democrats entered the day planning to pass both the infrastructure legislation and the party’s larger $1.75 trillion social safety net and climate package. A demand from a handful of centrists to see a Congressional Budget Office estimate of the social spending plan’s budgetary effects delayed its approval. Progressives sought assurances the holdouts would support the bigger proposal if they voted for the infrastructure bill.

After hours of talks — and a Biden call into a progressive caucus meeting urging lawmakers to back the infrastructure bill — the party’s liberal wing got assurances from centrists that they would support the larger package.

Congressional Progressive Caucus Chair Rep. Pramila Jayapal, D-Wash., said the group reached a deal to back the infrastructure plan in exchange for a commitment to take up the safety-net bill “no later than the week of November 15.” A group of five centrists separately issued a statement saying they would back the Build Back Better legislation pending a CBO score that assuages their concerns about long-term budget deficits.

Ahead of the vote, Biden aimed to assure his party that both plans would pass.

“I am confident that during the week of November 15, the House will pass the Build Back Better Act,” he said in a statement of the social spending bill. The House is out of Washington next week, and it could take the CBO days or weeks to prepare a score of the legislation.

The bills together make up the core of Biden’s domestic agenda. Democrats see the plans as complementary pieces designed to boost the economy, jolt the job market, provide a layer of insurance to working families and curb climate change.

The bipartisan Infrastructure Investment and Jobs Act would put $550 billion in new money into transportation projects, the utility grid and broadband. The package includes $110 billion for roads, bridges and other major projects, along with $66 billion for passenger and freight rail and $39 billion for public transit.

It would put $65 billion into broadband, a priority for many lawmakers after the coronavirus pandemic highlighted inequities in internet access for households and students across the country. The legislation would also invest $55 billion into water systems, including efforts to replace lead pipes.

Before the vote, Transportation Secretary Pete Buttigieg told MSNBC that “the moment the president signs this, then it’s over to our department on the transportation pieces to get out there and deliver.” It can take years to complete major projects after Congress funds them.

The spending package includes universal pre-K for all 3- and 4-year-olds, investments in affordable housing, premium reductions under the Affordable Care Act, major investments aimed at addressing climate change and an additional year of the expanded child tax credit.

Here's a closer look at what's in the infrastructure bill that now heads to Biden's desk:

Transportation

- Roads, bridges, major projects: $110 billion

- Passenger and freight rail: $66 billion

- Public transit: $39 billion

- Airports: $25 billion

- Port infrastructure: $17 billion

- Transportation safety programs: $11 billion

- Electric vehicles: $7.5 billion

- Zero and low-emission buses and ferries: $7.5 billion

- Revitalization of communities: $1 billion

Other infrastructure

- Broadband: $65 billion[/b]

- Power infrastructure: $73 billion

- Clean drinking water: $55 billion

- Resilience and Western water storage: $50 billion

- Removal of pollution from water and soil: $21 billion

https://www.cnbc.com/2021/11/05/house-passes-bipartisan-infrastructure-bill-sends-it-to-biden.html