Jobs and wages are up, but lower purchasing power could still lead the U.S. into recession

DON’T BE OVERLY fooled by this month’s seemingly rosy jobs data.

Yes, the U.S. economy added 187,000 jobs in August 2023 — faster than the revised 157,000 increase for July and above most analysts’ expectations for the month. And yes, gains were seen across most industries, with health care and social assistance adding 97,300 positions, leisure and hospitality boosting numbers by 40,000, construction up by 22,000 jobs, and 16,000 additional general manufacturing jobs.