Saturday, May 31, 2025

Latest

US Unemployment Rate Unexpectedly Rises

Latest data from the Bureau of Labour Statistics shows that job creation in the US is still as robust as ever, despite the Federal Reserve’s strong efforts to tame inflation and slow down an overheated economy.

February’s nonfarm payrolls jumped by 311,000, significantly above Dow Jones estimates calling for an increase of 225,000. The unemployment rate, meanwhile, rose to 3.6%, surpassing expectations calling for a reading of 3.4% thanks to a boost in the labour force participation rate, which hit 62.5%— the highest since March 2020.

However, taking a more optimistic turn for inflation was a less-than-expected increase in average hourly earnings, which rose 0.2% to 4.6% last month, less than the forecast of 4.8%. The latest job figures come on the heels of a downwardly revised January payrolls report, with the BLS initially reporting a gain of 517,000 before modifying to an increase of 504,000. Likewise, December’s figure was also revised downward by 21,000 to 239,000.

Despite the easing of wage growth increases, and lower job numbers, the Fed is likely to maintain its track of interest rate increases come its next policy meeting later in March. Markets are pricing in a 48.4% likelihood of a 50 basis-point increase, as per CME Group estimates.

Information for this briefing was found via the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

Alamos Gold Q1 Earnings: The Inside Scoop

Cerrado Gold Q4 Earnings: The Turnaround is Working

B2GOLD Q1 Earnings: Revenue Up, Production & Cash Flow Decline

Recommended

Canadian Copper: The $172M Combined Strategy PEA

ESGold Begins Concentration Tests Ahead Of First Production

Related News

Bank Of Canada Could Raise Interest Rates By 75 Basis Points — Economists

After Canadian inflation soared at a 39-year-record high of 7.7%, most economists believe that the...

Monday, July 11, 2022, 12:38:00 PM

Turkey Continues to Cut Rates as Inflation Explodes to 83%

While much of the world is fixated on Liz Truss’s breathtaking incompetence as now-former prime...

Thursday, October 20, 2022, 02:28:26 PM

Canadian Home Prices Have Fallen 20% Since The Peak, Sending Household Net Worth Plummeting

Canada’s real estate market continues to decline from last year’s peak, with sales levels falling...

Tuesday, September 20, 2022, 03:46:00 PM

Canada’s Economy Unexpectedly Adds 60K Jobs in June

Canada’s economy added about 60,000 new jobs in June, substantially more than the 17,300 drop...

Friday, July 7, 2023, 08:37:30 AM

Federal Reserve Maintains Interest Rates For Second Meeting In A Row

The Federal Reserve has opted to keep interest rates steady at a 22-year high of...

Wednesday, November 1, 2023, 02:23:34 PM