October 6, 2017
Hurricanes Harvey and Irma damaged not only Texas and Floriday but also the U.S. jobs picture, as payrolls fell by 33,000 in September. That drop came even as the unemployment rate fell to 4.2 percent, the Bureau of Labor Statistics reported Friday.
It was the first time since September 2010 that the closely watched number was negative.
Even with the surprise jobs number, the closely watched hourly wages figure jumped higher, to an annualized rate of 2.9 percent.
Economists surveyed by Reuters expected payroll growth of 90,000 in September, compared to the initially reported 156,000 in August. The unemployment rate was expected to hold steady at 4.4 percent.
The number was expected to be lower than usual due to Hurricanes Harvey and Irma that hammered Texas and Florida respectively, as well as other states. Policymakers at the Federal Reserve watch the report closely to help guide future policy, though this month’s report may be treated as outlier due to the weather impact.
This article was posted: Friday, October 6, 2017 at 7:47 am