U.S. job growth seen slowing in July; but far from recession levels

A pedestrian passes a “Help Wanted” sign in the door of a hardware store in Cambridge, Massachusetts, U.S., July 8, 2022. REUTERS/Brian Snyder/

Nonfarm payrolls forecast to increase by 250,000 in July
Unemployment rate seen unchanged at 3.6%
Average hourly earnings expected to rise 0.3%

WASHINGTON, Aug 5 (Reuters) – U.S. job growth likely slowed in July, but the pace was probably strong enough to keep the unemployment rate at 3.6% for a fifth straight month, offering the strongest evidence yet that the economy was not in recession.

The Labor Department’s closely watched employment report on Friday is expected to paint a picture of an economy muddling through despite back-to-back quarters of contraction in gross domestic product, the broadest measure of U.S. economic activity. Though demand for labor has eased in sectors like housing and retail that are sensitive to the higher…