In September, U.S. employers added a robust 254,000 jobs, far surpassing economists’ expectations and marking a sharp rise from August’s 159,000. The unemployment rate also fell for the second consecutive month, from 4.2% to 4.1%, signaling continued strength in the labor market despite high interest rates.
The latest figures reflect a resilient economy, with hiring gains across various sectors. Restaurants and bars added 69,000 jobs, healthcare 45,000, government 31,000, and construction 25,000. Wages saw a year-over-year increase of 4%, indicating solid wage growth.
This positive trend comes as the Federal Reserve reduced its benchmark interest rate last month to support the job market. Many economists now believe the U.S. is on track for a “soft landing,” where inflation is tamed without causing a recession.
However, public sentiment remains cautious, with inflation still a concern for voters as the 2024 presidential election approaches. The next jobs report, due just before Election Day, may be affected by Hurricane Helene and the Boeing machinists’ strike. Despite these uncertainties, the economy continues to grow, with consumer spending and business investment fueling a healthy 2.5% annual growth in the third quarter.
