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Big Upside Jobs Surprise

The Bureau of Labor Statistics (BLS) reported that there were 254,000 jobs created in September, which was well above estimates of 140,000. Positive revisions to July and August also added 72,000 jobs to those months combined. The unemployment rate fell from 4.2% to 4.1%.

What’s the bottom line? This report had a different tone than the softer labor sector data we’ve seen in recent months, as it showed strength on multiple fronts. In addition to the overall beat in job growth, the number of full-time workers rose by 414,000 after declining in August. Average hourly earnings also came in above estimates.

Note that September’s headline job growth figure will be subject to revisions in the next two reports, so we’ll have to see if the data remains as strong as it initially seems.

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