Hiring across the U.S. continued to surge in October, highlighting that the nation’s job market remains tight just days before the midterm elections.
Employers added 261,000 jobs last month, the Labor Department said on Friday, overshooting economists’ expectations of about 200,000. The government also said 30,000 more jobs were created in August and September than earlier estimates.
But the the unemployment rate ticked up to 3.7%, from 3.5% in September, as more workers lost jobs, with some leaving the labor force.
“The labor market is showing tentative signs of the effects of the Fed’s tightening campaign. But the dynamism and competitive nature of the jobs market shows little change in the tightness of labor,” Ben Emons of Medley Global Advisors wrote in a research note.
The technology sector — which for years has been an engine of job growth as well as a bellwether for other industries — is showing signs of gearing down.
Companies including Lyft and Stripe this week announced significant layoffs, while Twitter is set to downsize as Elon Musk moves to slash costs following his $44 billion purchase of the social media company. And giants such as Amazon, Google-parent Alphabet and Meta have said they plan to pull back on hiring amid slowing economic growth.
The strong job market is a rare bright spot in an economy otherwise beset by consumer worries. Polls show most Americans believe the country is in recession, while inflation remains near a 40-year high, outpacing wage growth and squeezing household budgets.
This is a developing story.
