Economic Watch: Employment Surges, Exports Highest in 2+ Years

Employers in the U.S. continued adding a strong number of jobs in July, while separate reports show better exports and factory orders.

Overall 209,000 non-farm jobs were added during the month, according to the Labor Department. That was more than many analysts were expecting and pushed the nation's unemployment rate down to 4.3%, matching a 16-year low hit in May. June's 222,000 gain was revised up to 231,000 while May was cut from 152,000 to 145,000.

The biggest job gains during July occurred in food services and drinking places, professional and business services, and health care.

Employment growth has averaged 184,000 per month so far this year, in line with the average monthly gain in 2016 of 187,000.

The for-hire trucking industry added 400 jobs in July and 7,900 so far this year. During July the wider transportation and warehousing sector added nearly 1,000 jobs, pulled down by the loss of 2,200 jobs in the warehousing and storage sector. In contrast, support activities for transportation increased by 1,700 jobs, while the couriers and messengers sector added 3,200.

Tightening labor markets had been putting upward pressure on wage inflation through 2015 and 2016, however, data so far this year show wage gains flattening out at around 2.5% which matches the 2016 increase and compares to increases of 2.3% and 2.1% in 2015 and 2014, respectively, according to Paul Ferley, assistant chief economist at RBC Economic Research.

“Confirmation that labor markets are approaching full employment is expected to warrant the Federal Reserve continuing to withdraw current stimulative monetary conditions,” he said. “Though tightening labor markets will eventually return wage inflation to an upward trend, in the interim, the absence of wage pressure will keep the pace of tightening gradual.”

The government report follows one on Wednesday by payroll processor ADP which showed 178,000 private sector jobs were added in ...Read the rest of this story

No Cab? No Driver? No Problem.

The T-Pod is an all-electric autonomous truck capable of running 124 miles on a single battery charge. Photo: Einride

A Swedish automotive startup has unveiled a peek at the future of autonomous trucking-- as of right now. On July 4, Einride rolled out its new T Pod concept truck during the Almedalsveckan Week event in Visby, Sweden. The new truck is a 23-foot long, 4,000-pound straight truck capable of hauling 15 pallets worth of cargo in urban delivery applications.

The T Pod is interesting firstly because it is an all-electric design with an estimated range of 124 miles on one charge, and secondly because it is a fully autonomous design. There is no driver in the T Pod. In fact, there is not even cab for a driver to sit in. Einride has designed the T Pod from the ground up as a completely driverless vehicle.

The company said that, initially, the T Pod can be controlled remotely by human drivers, although it is working to establish the necessary infrastructure and support elements that will eventually allow the truck to operate completely autonomously without any active human input whatsoever.

According to reporting from The Verge, Einride is planning to develop a complete autonomous transport network complete with charging stations connecting the Swedish cities of Gothenburg and Helsingborg by 2020.

Eventually, the company said, it will have as many as 200 T Pod trucks working the route capable of handling up to 2 million pallets of cargo annually. According to Einride, T Pod models on this route would save the equivalent Co2 emissions of 400,000 passenger cars annually.

Related: Global Self-Driving Market Expected to Grow 40% by 2027

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Oil prices flatten, but under shadow of high production

Oil prices recouped earlier losses on Friday but remained on track for a weekly decline, weighed down by rising OPEC exports and strong output from the United States. Brent crude futures (LCOc1), the international benchmark, were trading at $52.06 a barrel at 1314 GMT, 5 cents above the last close and heading for a fall of just under 1 percent on the week. U.S. West Texas Intermediate (WTI) crude futures (CLc1) were up 5 cents at $49.08 per barrel but set to end the week more than 1 percent lower.

Feds Withdraw Sleep Apnea Pre-Rule

The Federal Motor Carrier Safety Administration and the Federal Railroad Administration have withdrawn their advance notice of proposed rulemaking on obstructive sleep apnea.

The so-called “pre-rule” was jointly issued in March 2016. It was regarded by the two agencies as merely “the first step” in considering whether to propose specific requirements around OSA for commercial vehicle drivers and rail workers in “safety sensitive positions.”

FMCSA and FRA said in an Aug. 4 announcement of the withdrawal that the agencies have “determined not to issue a notice of proposed rulemaking at this time and believe that current safety programs and FRA's rulemaking addressing fatigue risk management are the appropriate avenues to address OSA.”

The agencies did stress that “OSA remains an ongoing concern for the agencies and the motor carrier and railroad industries because it can cause unintended sleep episodes and resulting deficits in attention, concentration, situational awareness, and memory, thus reducing the capacity to safely respond to hazards when performing safety sensitive duties.”

The 2016 pre-rule (RIN 2126-AB88 and 2130-AC52), titled “Evaluation of Safety Sensitive Personnel for OSA,” had sought to obtain “data and information concerning the prevalence of moderate-to-severe obstructive sleep apnea among individuals occupying safety sensitive positions in rail and highway transportation.”

The agencies also had requested information about the potential economic impact and safety benefits associated with “regulatory actions that would result in transportation workers in these positions, who exhibit multiple risk factors for OSA, undergoing evaluation by a healthcare professional with expertise in sleep disorders, and subsequent treatment.”

In its notice of withdrawal published in the Federal Register, the agencies stated they had received more than 700 comments from individuals, medical professionals, labor groups, and transportation industry stakeholders as well as the National Transportation Safety Board.

FMCSA added that it “reminds medical examiners that there are no FMCSA rules or other ...Read the rest of this story

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Minimizer releases new floor mats for Western Star trucks

Minimizer has released five all-new custom molded floor mat kits to fit 2016-2018 Western Star trucks.

“It's exciting to know that we now have nearly every Western Star truck released over the past couple years covered … literally,” Minimizer CEO Craig Kruckeberg said. “Our Custom Molded Floor Mats are designed to be a perfect fit, which can be tough logistically, but I'm proud to say our R&D team has pulled it off.”

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