September US Job Growth Fails to Meet Expectations

Employers in the US added only 29,000 nonfarm payroll jobs in September, falling short of Wall Street expectations.

The unemployment rate rose to 4.2 percent, and federal revisions revealed weaker momentum in previous months.

The job gains were driven by health care, construction, and manufacturing, but government employment dropped, and temporary help services fell.

Average hourly earnings increased by just 0.1 percent for the month, slowing annual wage growth to 3.0 percent, its lowest rate since May 2021.

Thomas Simons, chief U.S. economist at Jefferies, said the weak employment figures 'should be the nail in the coffin' for a central bank rate hike at the upcoming Federal Reserve meeting.