Employers in the United States added 150,000 workers to their payrolls in October, the Department of Labor said Friday.
The unemployment rate increased to 3.9 percent.
Economists had expected the economy to add 179,000 after payrolls were reported as increasing by 336,000 in September, more than twice the expected 160,000. The September figure was revised down to 297,000 and the August jobs figure was revised down by 62,000, from 227,000 to 165,000.
The unemployment rate was expected to hold steady at last month’s 3.8 percent.
The weaker-than-expected rise in employment may make it easier for the Federal Reserve to hold off on hiking interest rates further when it meets in December. The Fed decided at its meetings last week and in September to hold rates steady to see how earlier rate increases are affecting the economy. Prior to today, the market was pricing in around a 20 percent chance of a hike at the next meeting.
The Federal Reserve has been trying to cool off demand for labor, fearing that higher wages could put upward pressure on inflation. In recent months, however, those efforts have been stymied by rapid hiring and rising job vacancies.
The private sector added 99,000, according to the Labor Department. That was slightly below the 113,000 estimate released this week by payroll processor ADP.
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