When the US Bureau of Labor Statistics reported employment figures on Friday, the data showed that Nonfarm Payrolls rose by 165K in October, surpassing the market expectation of 65K by a wide margin. The latest print marks a sharp rebound from the revised 60K increase recorded in September.
Alongside robust employment growth, the Unemployment Rate dropped from 4.2% to 4.1%, and the Labor Force Participation Rate rose from 61.8% to 61.9%. Annual wage inflation, measured by the change in Average Hourly Earnings, softened to 3.1% from 3.2% on an annual basis, though monthly average hourly earnings increased by 0.4%.
Upward Revisions Push Prior Payrolls Higher
The report included substantial upward revisions to prior months. The change in total nonfarm payroll employment for August was revised up by 53,000, moving from +133,000 to +186,000, while the September figure was revised up by 31,000 from +29,000 to +60,000. According to the BLS, combined employment for August and September stands 84,000 higher than previously reported.
JUST IN: A blowout jobs report. The US economy added 165,000 jobs in October. That’s above expectations of ~65k. August and September also revised a lot higher. There was a big surge in professional and biz services hiring (+70k!), along with ongoing gains in healthcare and… pic.twitter.com/vQXBfkp3cT
Following the release of the employment data, the US Dollar gathered immediate strength. As of publication time, the USD Index traded 0.62% higher for the session at 102.20.
Unemployment Rate Holds Steady in October
During October, both the 4.1 percent unemployment rate and the 7.1 million jobless total saw minimal movement. The unemployment rate has remained within a narrow range of 4.1 percent to 4.3 percent since March.
Among major worker groups, unemployment rates showed little or no change for adult men at 3.9 percent, adult women at 3.6 percent, teenagers at 13.9 percent, and individuals who are White at 3.7 percent, Black at 6.6 percent, Asian at 2.8 percent, or Hispanic at 4.7 percent. The number of long-term unemployed individuals, categorized as those jobless for 27 weeks or more, remained steady at 2.0 million over the month.
More on Nonfarm Payrolls
BOOOOM. Jobs report crushes all expectations. Unemployment rate back down to 4.1% https://t.co/qkCcl7w0LS
The US Unemployment Rate moved down to 4.1% in October from 4.2% in September. Remains well below the historical average of 5.7%. 165k jobs were added, well above the 60k consensus estimate. August/September jobs were revised up by 84k. Fed will hike rates again in December. pic.twitter.com/YAI7A80GYO
US JOBS REPORT SMASHES FORECASTS — FED RATE HIKE ODDS IN FOCUS The US economy added 165,000 jobs in October, nearly triple the 59,000 expected, while unemployment fell to 4.1%, beating the 4.2% consensus. 🔸 Nonfarm payrolls: +165K vs. +59K expected 🔸 Unemployment rate: 4.1%…
US Nonfarm Payrolls & Employment Data (Oct): $QQQ $SPY ➤ Nonfarm Payroll Employment: 165K (Forecast 65K, Previous 29K) ➤ Private Nonfarm Payroll Employment: 159K (Forecast 64K, Previous 46K) ➤ Unemployment Rate: 4.1% (Forecast 4.2%, Previous 4.2%) ➤ Average Hourly… https://t.co/LwCw968MFU
US Change in Nonfarm Payrolls Oct: 165K (est 70K; prev 29K; prev R 60K) – Unemployment Rate: 4.1% (est 4.2%; prev 4.2%) – Avg Hourly Earnings (M/M): 0.4% (est 0.3%; prev 0.1%) – Avg Hourly Earnings (Y/Y): 3.1% (est 2.9%; prev 3.0%)
