U.S. nonfarm payrolls increased 156k in September
U.S. nonfarm payrolls increased 156k in September following August's upwardly revised 167k gain (was 151k), though July's 275k jump was revised down to 252k. The unemployment rate popped up to 5.0% from 4.9% previously. Household employment rose 354k from 97k, while the labor force surged 444k from 176k. The labor force participation rate inched up to 62.9% from 62.8%. Average hourly earnings rose 0.2% versus 0.1% in August. The workweek improved to 34.4 hours from 34.3 hours. Total private payrolls climbed 167k from 144k in August (revised from 126k), and versus the 154k ADP September gain. The goods sector added 10k jobs, with construction up 23k, while manufacturing shed 13k. Service sector jobs rose 157k, paced by a 67k increase in business services employment. Government jobs fell 11k. The data mix seem good enough for a Fed rate hike by year end, and that should keep bonds and stocks nervous, and underpin a firmer dollar.