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U.S. labor market slows with midterms on the horizon
nbcnews.com • • business
Key Points:
- The U.S. labor market slowed significantly in September, with only 29,000 jobs added, far below the expected 84,000, and the unemployment rate rising to 4.2%.
- Average hourly earnings increased by just 0.1% from the previous month and 3% year-over-year, marking the sixth consecutive month wages have lagged behind inflation.
- Revisions to July and August payroll numbers reduced previously reported job gains by a total of 60,000, indicating weaker employment trends than initially thought.
- Healthcare led job gains with 17,000 new positions, while construction and manufacturing added 11,000 and 9,000 jobs respectively; however, sectors like oil and gas, professional services, and hospitality showed little change.
- The weaker-than-expected jobs report caused initial stock market gains due to reduced odds of a Federal Reserve rate hike, but gains later moderated; meanwhile, Treasury yields fluctuated before continuing their upward trend.
