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The US economy added 227,000 jobs in November, bouncing back from the previous month’s hurricane and strike-induced slump.
According to the Bureau of Labor Statistics, Friday’s report exceeded economists’ expectations of 200,000 new jobs.
October’s initially reported 12,000 new positions were revised to 36,000 in the latest data release, indicating a stronger labor market than previously thought.
Despite the increase in jobs, the unemployment rate inched up to 4.2 per cent.
Market analysts anticipated a strong November report following October’s weak performance.
The Federal Reserve will scrutinize this data before its December meeting to decide on a potential interest rate cut.
Fed Chair Jay Powell expressed caution in lowering rates further, citing a robust economy and slightly higher inflation than expected.
While Governor Christopher Waller raised concerns about inflation, he still supported a rate cut in December.
If a cut happens, the federal funds rate target range would decrease to 4.25 to 4.5 per cent.
October’s dismal jobs report, impacted by hurricanes and a strike, contrasts sharply with November’s positive figures.
This story is still developing.