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What does September's strong jobs report mean for the market?
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💡Summary: US economy added 336,000 jobs in September, surpassing expectations. The robust job report signals that the Federal Reserve w Show More
💡Summary:
US economy added 336,000 jobs in September, surpassing expectations.
The robust job report signals that the Federal Reserve will likely have to hike its target rate further to slow hiring and the broader economy to tame inflation.

Nonfarm Payrolls 336K vs Forecast 170K
The US economy added 336,000 jobs in September, highlighting concern that the labor market isn't cooling as fast as the Federal Reserve would like in its battle against inflation. In September, the unemployment rate remained flat at 3.8%, unchanged from August and at a level not seen since February 2022.

Wages, a closely watched indicator of how much leverage workers have, rose less than expected last month, rising 0.2% on a monthly basis and 4.2% over last year. Economists expected wages to rise 0.3% over last month and 4.3% over last year.

Weekly Jobless Claims
On Thursday, the Labor Department reported that the number of Americans who applied for unemployment benefits last week rose slightly to 207,000, but they remained near pandemic-era lows and reflected an uber-strong labor market.
New jobless claims edged up from a revised 205,000 in the prior week, the government said.

Claims show a very low number of job losses and point to a stable economy. Unemployment claims typically rise toward 300,000 -- and eventually a lot higher -- when a recession approaches. Economists expected 210,000.

A higher-than-expected reading should be taken as positive/bullish for the USD, while a lower-than-expected reading should be taken as negative/bearish for the USD.

🎙️Q:
1. What does this mean for the economy?
2. Why are there millions of open positions but less than 90k new hires?

View disclosures here.
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