The US labor market faltered in September, adding only 29,000 jobs against expectations of 84,000, while the unemployment rate rose to 4.2%.
Key facts
- Nonfarm payrolls increased by just 29,000 in September.
- Economists had expected a gain of 84,000 jobs.
- The unemployment rate rose to 4.2%.
- The jobless rate had been expected to hold at 4.1%.
- The BBC reported American employers paused hiring during the month.
The US labor market slowed sharply in September, with nonfarm payrolls increasing by just 29,000, according to CNBC. The figure fell well short of the 84,000 jobs economists had expected for the month.
The unemployment rate also rose to 4.2%, up from a prior level. Forecasters had expected the rate to hold steady at 4.1%, according to CNBC.
The BBC reported that unemployment rose slightly to 4.2% in September as American employers paused hiring, pointing to a broad slowdown in the pace of job creation.
The weaker-than-expected numbers mark a notable cooling compared with earlier forecasts, with actual hiring coming in at roughly a third of what analysts had projected.
Both the smaller payroll gain and the uptick in the jobless rate suggest that employers grew more cautious during the month, though the sources did not detail the specific industries or regions affected.
Why it matters
Monthly jobs data is one of the clearest signals of the health of the US economy and helps shape decisions on interest rates and government policy. A sharp slowdown in hiring, paired with rising unemployment, can affect households, businesses and financial markets alike.
Frequently asked questions
How many jobs did the US add in September?
Nonfarm payrolls increased by just 29,000 in September, according to CNBC.
What was the September unemployment rate?
The unemployment rate rose to 4.2% in September, up from an expected 4.1%, according to CNBC and the BBC.
How did the figures compare with expectations?
Economists had expected payrolls to rise by 84,000 and the unemployment rate to hold at 4.1%, both of which were missed.