So, the game of on-again, off-again US rate hikes is over. They’re on after a tearaway October jobs report. From the BLS:
Total nonfarm payroll employment increased by 271,000 in October, and the unemployment rate was essentially unchanged at 5.0 percent, the U.S. Bureau of Labor Statistics reported today. Job gains occurred in professional and business services, health care, retail trade, food services and drinking places, and construction.
… The change in total nonfarm payroll employment for August was revised from +136,000 to +153,000, and the change for September was revised from +142,000 to +137,000. With these revisions, employment gains in August and September combined were 12,000 more than previously reported.
…In October, average hourly earnings for all employees on private nonfarm payrolls rose by 9 cents to $25.20, following little change in September (+1 cent). Hourly earnings have risen by 2.5 percent over the year.
Charts from Calculated Risk:
Year on year gains are holding up:
The unemployment rate is respectable:
Though largely owing to falling participation rate:
Other analytical series are also weak:
Two areas of improvement are retail:
And government:
Wage inflation finally showed some life:
But isn’t about to launch with oodles of shadow slack:
A very good monthly report. All the Fed needs to commence tightening in December.
