Slowing US Labor Market Signals No Urgency for October Rate Hike

The U.S. labor market is set to release its September nonfarm payrolls report on Friday, which will provide crucial signals for the Federal Reserve's next move on interest rates.

Economists surveyed by Dow Jones expect a slower pace of job growth at 84,000, down from August's strong increase of 162,000, but still consistent with relatively firm employment conditions.

The unemployment rate is expected to remain steady at 4.1%, a level broadly associated with full employment, according to consensus forecasts.

Fed officials, including Vice Chairman Philip Jefferson and New York Fed President John Williams, have downplayed the urgency for a rate hike, shifting market expectations from October to December after September's increase.