United States: Unemployment rate below 8%
October 5, 2012
In September, non-farm payrolls advanced by 114,000, which was down from the revised 142,000 increase observed in August (previously reported: 96,000 jobs). The figure, however, came virtually in line market expectations, which had anticipated payrolls rising by 115,000. The private sector continued to be the main responsible for new hiring by adding 104,000 jobs, with education and health services recording the largest gains. That said, the public sector added an additional 10,000 jobs, breaking the negative trend seen throughout most of the past year. The monthly figure marks the 24th consecutive month with gains in non-farm payrolls and the U.S. economy has now recovered 4.3 million jobs since February 2010, which marked the trough of the crisis in the labour market. That said, despite the improvement seen in the past two years, the economy still remains 4.5 million jobs below the peak reached in January 2008. Meanwhile, the unemployment rate - which derives from a different survey - fell from 8.1% in August to 7.8% in September, the first time since January 2009 in which the jobless rate falls below the 8% threshold. Moreover, unlike in previous months, the figure reflected a sharp increase in the level of employed workers, which was larger than the rise seen in the overall labour force.