Growth in the jobs market slowed for the third straight month. As Fred Katayama reports, the report could make the Fed more cautious about raising rates.
The U.S. job market unexpectedly slowed for the third straight month. Employers added 156,000 workers to their payrolls in September. And the gains of the previous two months were revised slightly downward. The unemployment rate, which has been generally steady, ticked up to 5.0 percent ... but for a good reason: more Americans went looking for jobs. Sectors adding the most to their payrolls: healthcare, professional and business services, and restaurants. The consistent jobs shrinkage in the mining industry slammed by low oil prices ended last month with zero losses. Manufacturing continued to shed jobs. Worker pay keeps picking up. Hourly wages grew 2.6 percent over the year before. This report could make the Federal Reserve more cautious about raising interest rates. The financial markets are betting that the central bank could hike rates in December. Stocks rose slightly at the start of trading. Brown Brothers Harriman's global head of currency strategy Marc Chandler said, "Those expecting a Fed hike in December will likely be unswayed by today's report... We expect the market will reduce the chance of a November hike." Fed policy makers next meet in early November just ahead of the election.