US adds 250,000 jobs in October; pay growth fastest since 2009

05 November, 2018, 01:14 | Author: Darnell Patrick
  • Justin Sullivan  Getty Images North America

The unemployment rate, meanwhile, remained unchanged, holding steady at 3.7 percent - a 49-year low.

Sustained labor market strength eased fears about the economy's health following weak housing and business spending data. "Keep it going, Vote Republican!"

The Dow Jones Industrial Average was off about 200 points, or 0.8%, at 25,193 in early afternoon after rising initially following the strong jobs news, which featured a 250,000 rise in nonfarm payrolls last month, better than 50,000 above economists' consensus guesses.

There were also big gains in manufacturing, construction and professional and business services payrolls.

Job gains in September were revised down to 118,000 from 134,000 in Friday's report. Unemployment at 3.7%. Wages UP!" he wrote on Twitter, telling reporters later in the day: "We had tremendous job numbers today. The Labor Department said Hurricane Michael, which struck the Florida Panhandle in mid-October, "had no discernible effect on the national employment and unemployment estimates for October".

Average hourly wages dipped in October 2017. Average hourly earnings rose 0.2% in October, putting the year-over-year gains in pay at 3.1% compared with a year earlier.

Inc. last month lifted pay for it lowest-earning employees to $15 an hour.

Wage growth hit an annualized rate of 3.1% in October, the most since 2009. The probability of another 25 basis-point (one-quarter percentage point) rise in the federal funds target, from 2%-2.25% now, at the December 18-19 meeting of the Federal Open Market Committee continues to hover around 75%, according to Bloomberg data. The personal consumption expenditures price index excluding the volatile food and energy components has increased 2.0 percent for five straight months.

The unemployment rate in the United States has not remained below 4% for a sustained period since the Vietnam war. The Fed raised borrowing costs in September for the third time this year.


Employment in other major industries, including wholesale trade, retail trade, information, financial activities, and government, showed little or no change over the month. Prices of U.S. Treasuries were lower. "Wages are firming on a nominal basis for workers", said Ernie Tedeschi, head of fiscal analysis at Evercore ISI and a former economist in the Obama administration.

The country has 7.1 million job openings, a record high, the Labor Department announced Tuesday.

Some analysts have tied rising pay to moves by 18 states to increase their minimum wages at the start of the year.

The labour force participation rate, or the proportion of working-age Americans who have a job or are looking for one, increased two-tenths of a percentage point to 62.9 per cent last month.

They said a rise in the number of people entering the workforce indicated confidence in the labor market, while wage gains suggested the robust hiring climate is starting to benefit the average worker.

The share of the population in the workforce also rose 0.2 to 60.6 percent.

Retailers barely hired, adding just 2,400 positions, possibly reflecting the Sears bankruptcy.

The jobs numbers come on the heels of a report Wednesday from payroll processing firm ADP, which revealed that 227,000 private sector jobs were added in October, up from 218,000 in September. Still, October's outsize gain might have reflected, in part, a rebound from September, when Hurricane Florence depressed job growth.

Despite the protectionist measures, the trade deficit continues to deteriorate. Over the year, construction has added 330,000 jobs as the Associated General Contractors of America reported Friday that spending in the sector spiked to a record adjusted annual rate of $1.329 trillion, or 5.5% for nine months of 2018 combined.

Recommended:

  • Oil Prices Leap After 3 Days Of Sliding

    Oil Prices Leap After 3 Days Of Sliding

    Oil prices are falling again, Friday, as concerns over short-term supply worries ease, despite the U.S. sanctions imposed on Iran. US light crude was 25 cents lower at $63.44, down more than 13 percent since hitting four-year highs a month ago.
    Petrifying moment faulty Soyuz space rocket EXPLODES mid-flight

    Petrifying moment faulty Soyuz space rocket EXPLODES mid-flight

    But the failure is worrisome, since Soyuz is the only human-rated spacecraft used to get people to and from the space station. Since then, Nasa has paid Russian Federation for seats on its Soyuz rockets to ferry its astronauts to the station.
    Cricket Australia Chairman Urged To Quit After Ball-Tampering Review

    Cricket Australia Chairman Urged To Quit After Ball-Tampering Review

    Among the recommendations was an anti-harassment code to stop sledging, and training to improve team leaders' "moral courage". Dyer went to say that the Longstaff report suggests Cricket Australia is also responsible in some ways.
  • Jose Mourinho names three 'biggest candidates' for Premier League title

    Jose Mourinho names three 'biggest candidates' for Premier League title

    Manchester United will hit the road following their impressive win over Everton the last time out. The goals might not be quite as free-flowing as the stats and markets suggest.
    Nine dead in Italy as severe weather leaves Venice engulfed in water

    Nine dead in Italy as severe weather leaves Venice engulfed in water

    The national Civil Protection Agency issued multiple weather warnings as storms swept across of the country, Reuters reported. High winds also toppled trees that killed passers-by in four incidents in Naples, Lazio and Liguria.
    Meghan tosses Harry out in gumboot tussle

    Meghan tosses Harry out in gumboot tussle

    He had a private audience with Harry and Meghan in June, after winning one of the Queen's Young Leaders Awards a year ago . New Zealand Post has marked the couple's visit with a special issue of commemorative stamps.
  • UFC 230: Daniel Cormier challenges Brock Lesnar for UFC and WWE titles

    UFC 230: Daniel Cormier challenges Brock Lesnar for UFC and WWE titles

    Lewis did manage to work his way back up for a split second but Cormier was quick to toss him back down to the canvas again. Souza and Weidman were engaged in a brutal slugfest that kept both fighters on their feet for most of the first two rounds.
    Dodgers Beat Red Sox, Eventually, in Longest-Ever World Series Game

    Dodgers Beat Red Sox, Eventually, in Longest-Ever World Series Game

    With the Red Sox least effective starter on the hill, L.A. managed just a solo home run from Joc Pederson on a flat changeup. Kinsler appeared on shaky footing when he scooped it up and fired toward first, and the ball sailed well wide of its target.
    Cesar Alteri Sayoc: What to Know About the Bomb Suspect

    Cesar Alteri Sayoc: What to Know About the Bomb Suspect

    Law enforcement officials told the AP that the devices, containing timers and batteries, were not rigged to explode upon opening. Even after Sayoc's arrest in Florida on Friday, authorities warned that pipe bombs could still be on their way to their targets.
  • India`s 12-member team for the 1st T20I against Windies

    India`s 12-member team for the 1st T20I against Windies

    Pant is expected to fulfil the wicket-keeping responsibilities while Karthik could take on one of the positions in the outfield. In 2018, Dhoni, who has also captained India to 50-over World Cup glory in 2011, managed only 245 runs at 27.22 in 17 matches.
    Red Dead Redemption 2 Stomped the Largest Opening in the Entertainment Industry

    Red Dead Redemption 2 Stomped the Largest Opening in the Entertainment Industry

    Wedbush Securities analyst Michael Pachter noted that the sales figures imply around 12 million units sold at launch. It is being called one of the best video games of all time , and the buzz surrounding it has been massive.
    Look China rich help drive billionaire wealth to $8.9 trillion

    Look China rich help drive billionaire wealth to $8.9 trillion

    He added: "The first step for wealth creation is usually the equity market; Asia and the U.S. share the same characteristics". At the current rate, UBS and PwC expect Asia-Pacific billionaires to be wealthier than their U.S. peers in under three years.


Popular

Trump Uses False Accusation Against Brett Kavanaugh To Inflame His Base
Munro-Leighton contacted the committee in October claiming she wrote an anonymous letter accusing the judge of sexual misconduct. Avenatti criminally conspired to make materially false statements to the Committee and obstruct the Committee's investigation".

Destiny 2 available for free via Battle.net
Activision pitched this as a celebration of Destiny 2's year on Battle.net, but that anniversary came and went in October. The catch is that this does not include the new Forsaken expansion , which costs $39 United States dollars extra to buy.

Migrant caravan's leaders reportedly demand 'safe and dignified' transport as enthusiasm erodes
Most of the migrants in the caravan appeared determined to reach the US , despite an offer of refuge in Mexico . USA officials have told Reuters the support mission would be coordinated by the US military's Northern Command.

Nintendo announces $31.49 CAD Super Smash Bros. Ultimate DLC pass
Or, with Mega Man's Guts Man, who will power up the enemy to not flinch easily, and use more grabs and throws than usual. This mode takes the place of previous Smash games offering tons of trophies from the represented Nintendo franchises.

Bodies of two sisters found taped together on NY river bank
They said there was no reason to think the sister was abducted or in danger, which is why no images were released to the public. The lack of obvious trauma appeared to rule out a theory they jumped into the river from the George Washington Bridge.

Trump plans 2 Missouri stops before US Senate election
It was only a matter of time before Democratic rising star Andrew Gillum and former President Barack Obama's path's crossed. Southwest Florida and the Panhandle are two party strongholds where Republicans look to run up large vote margins.

Mighty Winx wins record fourth Cox Plate
I'm lost for words", Bowman told Channel Seven . "I really felt it this week, I will be honest with you more than I have before". On Thursday I rang a few close mates to have a bit of a chat, I just try to do things to keep my mind occupied.

More affordable iPhone XR model hits store shelves in Japan
And the slightly thicker bezels are, again, the type of thing you'd only notice if you were holding an XR and an XS side by side. For Apple to continue to be a mass producer and marketer of iPhones, it needed to take a different tack than in years past.

Pakistan beat Australia by 66 runs in first T20
Finch said the defeat was embarrasing. "Obviously we were just outplayed". "Absolutely they'll be looking at changes", Finch said. However, they were blown away in a dramatic opening six overs after which they found themselves six wickets down.

Crown prince was unaware of Khashoggi's death, Saudi official says
Saudi Arabia initially strongly denied this but has since claimed that he died during a "brawl" at the Saudi consulate in Turkey . The government said concerns following the disappearance of journalist Jamal Khashoggi on October 2 were behind the decision.