Summary Nonfarm payrolls increased by 175K in the month, below consensus expectations for a 240K gain, while the unemployment rate rose a tenth to 3.9%. Meantime, average hourly earnings growth slowed and, at just 3.9% year-over-year, is not too far above the 3.3% average that prevailed in 2019. Overall, today's data point to a jobs market that is still tight, but not nearly as hot as it was a year or two ago.
Nonfarm payrolls registered an increase of 175K compared to a prior three-month average of 276K . The increase fell short of consensus expectations for a 240K gain in what is only the fourth time in the past two years the initial print undershot the consensus. On an industry basis, job growth remained solid in healthcare & social assistance , while picking up in manufacturing . However, elsewhere the picture was underwhelming.