Handelsblatt1 hour agoBusiness1 min readGermany

US labor market weakens surprisingly sharply in September

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The US labor market recorded an unexpectedly weak increase of just 29,000 non-agricultural jobs in September.
In addition, the employment figures for July and August were revised downwards significantly, while the unemployment rate rose to 4.2 percent.

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Why It Matters

The US labor market report serves as a central indicator of the economic health of the USA. The ADP data regularly acts as a precursor to the official government figures.

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Dusseldorf. The US labor market weakened surprisingly sharply in September. Non-farm payrolls rose by 29,000, according to the government's report on Friday. Economists surveyed by the Reuters news agency had expected a job increase of 90,000. The unemployment rate also rose to 4.2 percent in September.

US statisticians have meanwhile revised the employment figures for July and August downwards. For July they initially reported an increase of 21,000 non-agricultural jobs, but now they are instead reporting a decrease of 10,000 jobs - a downward correction of 31,000. August was also weaker: Instead of the 162,000 new jobs originally reported, there were only 133,000, a decrease of 29,000.

The first indication of the slowdown had already come from the private sector: According to the ADP report, 90,000 new jobs were created in September. The increase for August was also revised downwards to 36,000. The ADP numbers are seen as a precursor to the report published this Friday, which also includes government agencies.

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