Hiring Is Again Stronger Than Expected

Employers added 261K jobs in October
By John Johnson,  Newser Staff
Posted Nov 4, 2022 8:02 AM CDT
Hiring Is Again Stronger Than Expected
A hiring sign is displayed in Deerfield, Ill., Wednesday, Sept. 21, 2022.   (AP Photo/Nam Y. Huh, File)

The latest jobs report came in stronger than expected, which may not be great news for investors hoping the Fed eases up on rate increases. As the AP puts it, "the economy remains a picture of solid job growth and painful inflation." The details:

  • New jobs: Employers added 261,000 jobs in October, above expectations of 205,000, reports CNBC. While strong, the numbers show that the pace of hiring is slowing, per the Wall Street Journal. Employers had added an average of 372,000 jobs a month in the three-month stretch ending in September. Still, the new numbers reflect the "continued resilience" of the labor market, per the Journal.
  • The rate: The unemployment rate rose to 3.7% from 3.5%, though most analysts had expected it to stay the same. The Fed has been worried about the hot labor market's effect on inflation, and the AP reports that until the rate hits 4%, those concerns may not be allayed.
  • Wages: Average hourly earnings rose 0.4% for the month and are up 4.7% compared to a year ago. The figures suggest that "wage growth is still likely to pressure inflation," per CNBC. The Journal notes that in the bigger picture, wage gains are slowing, though they remain well above pre-pandemic levels.

  • The market: Dow futures were up about 130 points, or 0.4%, just before the report came out. They were largely unchanged immediately after the report's release, suggesting the market was unfazed by what it saw.
(More jobs report stories.)

Get the news faster.
Tap to install our app.
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.