No One Saw October’s Jobs Report Coming

The USA job market improved in October far more than economists were expecting – and we mean far more.

The unemployment rate, the lowest since April 2008, is at 5.0%.

Consumer spending has propped up the American economy since the summer of 2009.

These numbers are considerably lower than was normal in past decades because the US population is becoming increasingly elderly.

124-c-25-(Jerry Bodlander, AP correspondent)-“meet next month”-AP correspondent Jerry Bodlander reports the October jobs report was very strong”.

Jim O’Sullivan, an economist at High Frequency Economics, said: “This is an unambiguously strong report”. By late morning, stocks had fallen modestly. Additionally, average hourly earnings in the private sector rose in October by 9 cents to $25.20, up about 2.5 percent from this time previous year. USA inflation will hit the Fed’s 2-percent target by the end of next year, and is likely to exceed it for a time, Bullard added. The U.S. economy added 271,000 jobs, beating estimates of 185,000. (NASDAQ:KHC) after markets closed Thursday said it had lower-than-expected revenue and profit for the July-September quarter. Over the prior 12 months, this category, which includes better-paying white-collar jobs, had averaged 52,000 jobs. “Fuel prices have a big impact”.

PIPE LEAK: TransCanada fell $1.84, or 5.4 percent, to $32.52 after The Associated Press and other news outlets reported that the White House, after years of scrutiny, planned to reject the company’s proposed 1,200-mile Keystone XL oil pipeline.

Unemployment in the United States has decreased to its lowest level in more than seven years even as payrolls have increased.

Earlier this week, Yellen said a December rate hike was a “live possibility” and the policy-board would raise the federal funds rate if the data was sufficient.

“The report was so strong and broad-based that it will be hard to deter them from raising rates”, said Michael Gapen, chief USA economist at Barclays.

Locally, the transportation and warehousing sector was up by 2.6 percent over the year in September while employment in the local wholesale trade industry rose by 3.2 percent over the year.

Still, the USA economy has advanced. He spoke a day after fellow governor Lael Brainard highlighted sluggish wage growth as evidence “that labor market slack is still present and that workers’ bargaining power likely remains weak”. The slowdown occurred mostly because businesses cut back on their stockpiles and exports weakened. Benchmark crude oil fell 91 cents, or 2 percent, to $44.29 a barrel and Brent crude, which is used to price global oils, fell 56 cents, or 1.2 percent, to $47.42 a barrel.

If the months ahead show October-like job numbers, it may help the prospects for Democrats seeking to retake control of the Senate, and for whoever becomes their presidential candidate. That’s in sharp contrast to the ISM’s survey of manufacturing firms, which barely grew in October.