Washington, Oct 6 (EFE).- Job creation in the United States has surprisingly reached its highest rate in eight months, as 336,000 new non-farm jobs were added to the labor market in September, according to data released on Friday.
It is the most significant job creation since January 2023 and is much higher than that of August, when 227,000 jobs were created, as indicated by the Bureau of Labor Statistics (BLS).
After the data was released, the President of the United States, Joe Biden, appeared before the press to celebrate the recovery.
“It’s not an accident, it’s Bidenomics, we’re growing the economy from the middle out, from the bottom up, not the top down,… and inflation is coming down simultaneously,” Biden said at a press conference.
He credited the result to his economic policies implemented since taking office in January 2021, known as “Bidenomics,” which he defines as “bringing supply chains home and investing in the industries of the future so we can make things in America again with American workers.”
Friday’s numbers, he added, are “another example” of the results of the roadmap his administration has outlined.
The figure of 336,000 new jobs is above the monthly average created over the past twelve months (267,000).
The result shows the stability of the labor market despite the rise in interest rates.
The US unemployment rate remained unchanged at 3.8% in September. The unemployed remained at 6.4 million, the same as in August.
Wall Street’s Reaction
After the data was released early Friday, Wall Street stocks opened in the red.
Investors were paying attention to the evolution of the US labor market, as it will be taken into account by the Federal Reserve in defining its monetary policy.
According to Joaquín Robles, an analyst at XTB, the US non-farm payrolls data “could trigger an increase in the yield of the US 10-year bond to the 5% area, which will most likely be accompanied by a fall in the stock market”.
Leisure and hospitality jobs up
Leisure and hospitality lead job creation with 96,000 new jobs, 61,000 in restaurants, followed by health care (41,000) and professional, scientific and technical services (29,000).
Average hourly earnings rose 7 cents, up 0.2% from August. Over the past twelve months, average hourly earnings have increased by 4.2%.
According to data from the Bureau of Labor Statistics, these economic indicators come a week after it was announced that the US economy grew by half a point in the second quarter.
The recovery in job creation news follows the Federal Reserve’s decision in September to pause interest rates, after eleven increases since March 2022, used to control inflation. EFE
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