25/12/16
US adds 64,000 jobs in November, jobless rate climbs
Houston, 16 December (Argus) — The US added more jobs than expected in November
after sharp losses in October fueled by government job cuts, while the
unemployment rate rose to its highest in four years. The US added 64,000 nonfarm
jobs in November, more than the 50,000 anticipated by economists surveyed by
Trading Economics. The unemployment rate rose to 4.6pc, up from 4.4pc in
September and the highest since September 2021, the Bureau of Labor Statistics
(BLS) reported. The US lost 105,000 jobs in October, largely due to earlier
federal job cuts, according to data that had been delayed because of the 43-day
government shutdown that ended on 12 November. Job creation in November was
largely in line with average growth since April, BLS said, marking an ongoing
slowdown in hiring from earlier in the year. "The labor market remains weak, but
the pace of deterioration probably is too slow to spur the [Federal Reserve's
Federal Open Market Committee] FOMC to ease again in January," Pantheon
Macroeconomics said in a note after the report was released. After the report,
CME's FedWatch Tool showed a 26.6pc probability the FOMC will cut its target
rate by a quarter point at its next meeting in January, compared with 24.4pc
odds on Monday. The FOMC cut its target rate by a quarter point last week to
3.5-3.75pc, its third such cut of the year, and it penciled in only one such cut
each for 2026 and 2027. Employment rose in health care and construction in
November. Federal government jobs fell by 6,000 in November, following estimated
job losses of 162,000 in October, as some employees who accepted deferred
resignation came off payrolls. Federal government employment was down by 271,000
from a peak in January after the administration of President Donald Trump began
slashing jobs as part of his effort to cut the federal workforce, even as courts
and federal unions pushed back, delaying and limiting the impacts. Manufacturing
lost 5,000 jobs in November following losses of 9,000 in October, BLS said.
Transportation and warehousing lost 18,000 jobs in November. Leisure and
hospitality lost 12,000 jobs after gains of 16,000 in October. Construction
added 28,000 jobs in November. Mining and construction lost 4,000 jobs in
November. Changes in nonfarm job growth for August and September were revised
lower by a combined 33,000 jobs, with September revised down to 108,000 jobs
added from 119,000 in the initial estimate. By Bob Willis Send comments and
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