Layoffs dropped to 1.5 million from August’s 1.7 million, further demonstrating the strength of the job market. The unemployment rate held steady at 3.8%, slightly above a historic low, highlighting an impressively robust labor market by historical standards.
The Federal Reserve has hiked its benchmark interest rate 11 times since March last year in response to four-decade-high inflation. This has resulted in a year-on-year rise in consumer prices by 3.7% in September, exceeding the Fed’s 2% target but falling from June’s peak of 9.1%.
In an attempt to achieve a ‘soft landing’, the Federal Reserve aims to raise rates just enough to keep price increases in check without inducing a recession. It is expected to leave its benchmark rate unchanged for the second consecutive meeting while assessing the impact of its measures.
The Labor Department and FactSet project October’s jobs report to reveal a solid addition of approximately 189,000 jobs while maintaining unemployment at 3.8%. An employee at Hanwha Qcells Solar plant represents the current labor market conditions, further emphasizing the resilience of the US job market amidst ongoing economic challenges.
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Source: Economy - investing.com
