US economy adds 227,000 jobs in November
Economists had forecast 200,000 new positions
September and October payrolls revised up by 56,000 jobs
Jobless rate rises to 4.2%; workforce contracts
WASHINGTON, – U.S. job growth surged in November after being severely hindered by hurricanes and strikes, but a rise in the unemployment rate to 4.2% pointed to an easing labor market that should allow the Federal Reserve to cut interest rates again this month.
The labor market’s resilience is driving the economy through strong consumer spending, with the closely watched employment report from the Labor Department on Friday showing solid wage growth last month. The economy created 56,000 more jobs in September and October than previously estimated.
“The report should soothe bears and bulls alike,” said Scott Anderson, chief U.S. economist at BMO Capital Markets. “The solid nonfarm payroll gain and strong earnings growth should keep the economic expansion on a sturdy foundation, even as a gradually rising unemployment rate moderates demand and inflationary pressures over time.” Nonfarm payrolls increased by 227,000 jobs last month after rising by an upwardly revised 36,000 in October, the Labor Department’s Bureau of Labor Statistics said. Economists polled by Reuters had forecast payrolls would gain 200,000 jobs following a previously reported rise of 12,000 in October.
Job growth averaged 173,000 per month over the past three months. Economists had anticipated a payrolls…
