U.S. economy added 165,000 jobs in October, way more than expected; unemployment rate slips to 4.1%
Nonfarm payrolls were expected to increase by 59,000 in October as the unemployment rate was expected to hold steady at 4.2%.
TL;DR
- October nonfarm payrolls increased by 165,000, far exceeding the estimated 59,000.
- The unemployment rate decreased to 4.1% from the expected 4.2%.
- Prior months' job gain figures for August and September were revised upwards substantially.
- Average hourly earnings rose 0.4% monthly and 3.1% annually, surpassing forecasts.
- Job growth was broad-based, with professional and business services, healthcare, transportation, and manufacturing showing notable increases.
- The report suggests the economy is not heading into a meaningful slowdown.
- The labor force participation rate edged up to 61.9%.
- Long-term unemployment saw a sharp rise, with the average duration increasing to 27.1 weeks.
- The report has implications for the Federal Reserve's interest rate decisions in December.
- Market reaction included higher Treasury yields and mixed stock market futures.