The labor market slowed a little in September in the United States, a desired development in the fight against inflation, but it remained solid, and the unemployment rate even returned to its pre-pandemic level .
The jobless rate fell slightly in September, falling to 3.5%, its July level, which was also that of before the pandemic, the United States Department of Labor announced on Friday. It was 3.7% in August.
Job creations have slowed, and the US economy added 263,000 jobs last month, notably in leisure, hospitality and health services, compared to 315,000 in August.
Analysts had forecast a stable unemployment rate compared to August, at 3.7%, and anticipated between 250,000 and 275,000 job creations, according to analyst consensus.
US President Joe Biden is due to deliver a speech on the economy at 1:35 p.m. (5:35 p.m. GMT), from a Volvo automaker factory in Hagerstown, Maryland.
The employment situation is scrutinized, because it is linked to the fight against inflation. A deterioration of the labor market is thus, paradoxically, desired and expected.
For more than a year, the labor market has been very tight due to a labor shortage. Employers struggle to recruit, and raise salaries to attract candidates and retain employees, which contributes to driving up prices.
– No change for the Fed –
“Demand from employers remains robust and availability is improving on the worker side, for now,” Nela Richardson, chief economist at business services firm ADP, said on Wednesday. a monthly survey on private job creation.
In August, the unemployment rate had risen a little, to 3.7%, just after returning to its pre-pandemic level, the lowest in more than 50 years. But that masked good news: the return to the job market of many people who had left it because of the Covid, women in particular.
The US central bank (Fed) is maneuvering to fight inflation. It raises interest rates to slow down the economy by discouraging consumption and investment, at the risk, however, of provoking a recession.
September’s job creations are in line with expectations, and Christopher Waller, a Fed governor, said Thursday that such a level would show “that the labor market is slowing down a bit but remains quite tight”. which would support his “view that (the Fed should) be 100% focused on reducing inflation”, and therefore continue to raise rates.
“Policy must remain focused on restoring price stability, which will also lay the foundation for a strong and sustainable labor market,” warned Lisa Cook, another Federal Reserve governor.
Inflation slowed in August to 8.3% year on year, but was widespread, except for gasoline at the pump, according to the CPI index, which refers.
Another measure of inflation, the PCE index, more particularly taken into account by the American central bank (Fed), showed a rise in prices of 6.2% over one year.