U.S. Jobs Growth Misses Estimates; Unemployment Rises to 4.6%

U.S. Labor Market Shows Signs of Softening with Mixed Employment Data and Rising Unemployment Rate

  • Nonfarm payrolls increased by 64,000 in November, exceeding expectations of 50,000.
  • The unemployment rate rose to 4.6% in November, higher than the anticipated 4.4%.
  • October jobs declined by 105,000, a reversal from 119,000 jobs added in September.
  • The mixed employment data suggest recent softening in the U.S. labor market.
  • The price of Bitcoin fell to around $87,000 after the report’s release.

The U.S. labor market showed signs of continued softening as recent government data caught up with delayed reports due to the shutdown in Washington, D.C. In November, nonfarm payrolls rose by 64,000, surpassing economist predicted growth of 50,000, according to the Bureau of Labor Statistics Tuesday report.

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The unemployment rate increased to 4.6% in November, exceeding forecasts of 4.4% and rising from 4.4% recorded in September. In October, jobs declined by 105,000, contrasting with the addition of 119,000 jobs in September. These figures collectively indicate a weaker employment situation than previously expected.

Bitcoin’s value receded slightly after the employment report, dipping to approximately $87,000 from modest overnight gains as markets reacted to the data. Prior to the release, market expectations had placed a 75% chance that the Federal Reserve would maintain current interest rates at its January meeting.

Nonfarm payrolls measure employment excluding those in farming, representing a key indicator of labor market performance. The unemployment rate reflects the percentage of the labor force actively seeking work but currently unemployed.

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