Overview: The economy lost 125,000 jobs in June as the unemployment rate fell to 9.5%.  The ISM index fell 3.5 points to 56.2 in June. Personal income rose 0.4% in May while personal spending was up 0.2%.  Pending home sales fell 30.0% in May.  Construction spending was down 0.2% in May.  Auto sales fell 4.7% in June.  Factory orders declined 1.4% in May.  Initial jobless claims rose by 13,000 to a level of 472,000 for the week ended 6/26.

The economy shed 125,000 jobs in June as the unemployment rate fell to 9.5%. The number of temporary Census workers declined by 225,000; private payroll employment rose by 83,000.  The labor force declined by more than 650,000 in June and is now more than 1.2 million below its peak from May of 2009.

The ISM index fell more than expected, declining 3.5 point in June to a level of 56.2.

Personal income rose 0.4% in May; personal spending rose 0.2%.

Pending home sales fell by a greater-than-expected 30.0% in May. The sharp decline in sales contracts is evidence of the impending decline in sales associated with the expiration of the homebuyer tax credit.

Construction spending was down 0.2% in May.

Auto sales fell 4.7% to an annual rate of 11.1 million units in June.

Factory orders fell 1.4% in May.

Initial jobless claims increased by 13,000 to 472,000 for the week ended June 26^th.