US Job Market Strengthens as Nonfarm Payrolls Surge in September
The US job market showed signs of robust growth in September, with nonfarm payrolls adding 336,000 jobs, exceeding the expectations. This uptick in employment led to a decline in stock market futures and an increase in the 10-year Treasury yield, which rose to 4.83%.
The Federal Reserve is now considering a potential hike in interest rates due to ongoing inflation concerns. Despite these macroeconomic shifts, wage growth remained modest, with average hourly earnings increasing by 0.2% for the month and 4.2% year-on-year.
Leading the job growth was the leisure and hospitality sector, which added 96,000 new jobs. Government roles followed with an addition of 73,000 positions, while the healthcare sector and professional services contributed 41,000 and 29,000 jobs respectively.
In contrast, the motion picture and sound recording industry witnessed job losses due to a strike by the Writers Guild of America. The strike occurred amidst a labor dispute in Hollywood, which has since been resolved. The exact number of jobs lost due to this strike was not specified in the context.
This data provides a snapshot of the current state of the US job market and may influence future decisions by the Federal Reserve regarding interest rates. As inflation continues to be a concern, these figures will be closely watched by economists and policymakers alike.
