• U.S. nonfarm payrolls increase more than forecast in November

Market news

6 December 2019

U.S. nonfarm payrolls increase more than forecast in November

The U.S. Labor Department announced on Friday that nonfarm payrolls increased by 266,000 in November after an upwardly revised 156,000 gain in the prior month (originally an increase of 128,000).

According to the report, significant job gains occurred in health care (+45,000 jobs) and in professional and technical services (+31,000). In addition, manufacturing employment rose by 54,000, reflecting the return of workers from a strike.

The unemployment rate fell to 3.5 percent in November from 3.6 percent in October.

Economists had forecast 180,000 new jobs and the jobless rate to stay at 3.6 percent.

The labor force participation rate edged down to 63.2 percent in November from 63.3 percent in October, while hourly earnings for private-sector workers rose 0.2 percent m-o-m (+7 cents) to $28.29, following a revised 0.4 percent m-o-m gain in October (originally an increase of 0.2 percent m-o-m). Economists had forecast a 0.3 percent m-o-m advance in the average hourly earnings. Over the year, average hourly earnings have increased by 3.1 percent, following a revised 3.2 percent rise in October (originally a 3.0 percent advance).

The average workweek remained unchanged at 34.4 hours in November, matching economists’ forecast.

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