US employers add 29,000 jobs in September, BLS data shows

The US labour market recorded a sharp slowdown in September, with employers adding only 29,000 jobs ahead of the country’s midterm elections, radarr.africa reported.

September Hiring Falls Well Short of Analyst Expectations

The latest jobs number fell far short of analysts’ expectations for an increase of 84,000 jobs. The figure missed Bloomberg expectations of around 90,000 job additions. The Bureau of Labor Statistics also brought downward revisions to earlier employment data, with job gains for July and August revised lower by a combined 60,000.

The unemployment rate edged up from 4.1% in August to 4.2% in September. While higher than the previous month, the rate remains at a historically low level and has stayed within a relatively narrow range of 4.1% to 4.3% since March.

Economists Differ on Economic Health and Policy Impact

Market analysts offered varied interpretations of the softer employment data.

Financial markets reacted quickly to the shifting labor data. Treasury yields moved lower as traders reduced expectations of another rate increase from the Federal Reserve. Meanwhile, US stock futures extended gains following the report, with Dow futures up about 439 points, or 0.85%, and S&P 500 futures gaining 0.79%.

Political Challenges Emerge Ahead of Midterm Elections

The figures create additional political challenges as Trump and fellow Republicans prepare for November midterm congressional elections, with economic conditions remaining a primary issue for voters.

Both figures represented new lows for Trump and fell below the lowest approval ratings recorded for former President Joe Biden. Trump acknowledged that his view of the economy may not align with how many Americans perceive current conditions, stating at a White House event that he has done a very bad job of explaining how good the country is doing.