Unemployment rate falls to 7.7% from 7.9%; Sandy not a factor
By Jeffry Bartash, MarketWatch
WASHINGTON (MarketWatch) — The nation continued to add jobs at a modest pace in November and the unemployment rate fell to the lowest level in four years as the huge U.S. economy appeared to brush off the damage caused by Hurricane Sandy.
The U.S. economy added 146,000 jobs last month, Labor Department said Friday. The unemployment rate also fell to 7.7% from 7.9%, the lowest level since December 2008, but that was because more people dropped out of the labor force and stopped looking for work.
Because of the disruption caused by Hurricane Sandy, Wall Street had expected a mediocre employment report. Economists surveyed by MarketWatch had forecast the U.S. to gain 80,000 jobs in November, with the unemployment rate holding steady.
On Wall Street, the latest jobs figures drew a positive reaction, with stock futures SPZ2 +0.41% rising on the announcement.
Yet the government said the storm was largely a nonfactor.
“Our analysis leads us to conclude that Hurricane Sandy did not substantially impact the national employment and unemployment estimates for November,” said John Galvin, acting commissioner of the Bureau of Labor Statistics.
The pace of job creation in November closely matched hiring trends in October and September. The government revised the number of new jobs created in October down to 138,000 from 171,000, while September’s increase was revised down to 132,000 from 148,000.
Because of the disruption caused by Hurricane Sandy, Wall Street had expected a mediocre employment report. Economists surveyed by MarketWatch had forecast the U.S. to gain 80,000 jobs in November, with the unemployment rate holding steady.
On Wall Street, the latest jobs figures drew a positive reaction, with stock futures SPZ2 +0.41% rising on the announcement.
Yet the government said the storm was largely a nonfactor.
“Our analysis leads us to conclude that Hurricane Sandy did not substantially impact the national employment and unemployment estimates for November,” said John Galvin, acting commissioner of the Bureau of Labor Statistics.
The pace of job creation in November closely matched hiring trends in October and September. The government revised the number of new jobs created in October down to 138,000 from 171,000, while September’s increase was revised down to 132,000 from 148,000.
