Current:Home > NewsEmployers added 303,000 jobs in March, surging past economic forecasts-InfoLens
Employers added 303,000 jobs in March, surging past economic forecasts
View Date:2025-01-11 18:03:27
U.S. employers added 303,000 jobs in March, far surpassing economists' predictions and signaling the labor market remains strong.
Analysts surveyed by FactSet expected businesses had added 200,000 jobs last month. The unemployment rate held steady at 3.8%, the U.S. Department of Labor said on Friday.
The latest data, which continues the trend of scorching hot hiring earlier this year, is likely to play into the Federal Reserve's decision on whether to cut its benchmark interest rate this year, and by how much. On Thursday, a Fed official warned that interest rate cuts may not materialize in 2024, contrary to expectations of many economists, given the strong labor market and stubbornly high inflation.
"Today's jobs numbers surprised to the upside once again as the U.S. labor market continues to show steady strength and resilience," Eric Merlis, managing director and co-head of global markets at Citizens Bank. "The economy seems to have adapted to a new normal of higher rates and today's data does not increase the urgency for the Fed to make cuts."
The health care industry added 72,000 jobs last month, the most of any sector, the Labor Department said, followed by government with 71,000 new jobs and leisure and hospitality with 49,000 hires. The construction industry hired 39,000 people. There were little to no job gains in the retail, financial services and transportation and warehousing sectors.
"The 49,000 increase in leisure and hospitality jobs could also be weather related, but it was still enough to restore employment in that sector finally back to its pre-pandemic level," Paul Ashworth, chief North America economist at Capital Economics, said Friday.
Average hourly earnings rose 12 cents to $34.69, after a hike of 18 cents in January.
"Some had been hoping that the Federal Reserve would cut interest rates at its June meeting," Lisa Sturtevant, chief economist at Bright MLS, said in an email. "However, with today's strong jobs report, it is all but certain that the first rate cut won't be before July. As a result, mortgage rates are likely going to stay elevated for longer."
The Federal Reserve has raised interest rates 11 times in the last two years as it battled the hottest inflation in 40 years. While price increases are moderating, inflation has remained above 3% in 2024, higher than the Fed's goal of 2%.
Aside from Friday's jobs numbers, Wall Street will be closely watching the next consumer price index report, or CPI, which is scheduled to be released on April 10. Economists expect prices rose 3.5% on an annual basis in March, which would represent an uptick from the previous month's 3.2% increase, according to FactSet.
- In:
- Employment
- Economy
Khristopher J. Brooks is a reporter for CBS MoneyWatch. He previously worked as a reporter for the Omaha World-Herald, Newsday and the Florida Times-Union. His reporting primarily focuses on the U.S. housing market, the business of sports and bankruptcy.
TwitterveryGood! (5446)
Related
- Lala Kent Swears by This Virgo-Approved Accessory and Shares Why Stassi Schroeder Inspires Her Fall Style
- FTC sues to kill Kroger merger with Albertsons
- Debt, missed classes and anxiety: how climate-driven disasters hurt college students
- 3 dividend stocks that yield more than double the S&P 500
- The View's Sara Haines Walks Off After Whoopi Goldberg's NSFW Confession
- Mexico upsets USWNT in Concacaf W Gold Cup: Highlights of stunning defeat
- By defining sex, some states are denying transgender people of legal recognition
- Federal judge reverses himself, rules that California’s ban on billy clubs is unconstitutional
- Queen Bey and Yale: The Ivy League university is set to offer a course on Beyoncé and her legacy
- Family Dollar to pay $42 million for shipping food from rat-infested warehouse to stores
Ranking
- Eva Longoria Shares She and Her Family Have Moved Out of the United States
- NTSB: Engine oil warnings sounded moments before jet crash-landed on Florida highway, killing 2
- TV Host Jesse Baird and Luke Davies Murder Case: Police Find Bodies of Missing Couple
- Photographer in Australia accuses Taylor Swift's father of punching him in the face
- The USDA is testing raw milk for the avian flu. Is raw milk safe?
- Family of exonerated Black man killed by a Georgia deputy is suing him in federal court
- DEA cracks down on pill presses in latest front in the fight against fentanyl
- Powerball winning numbers for Feb. 26, 2024 drawing: Jackpot rises to over $400 million
Recommendation
-
Who will save Florida athletics? Gators need fixing, and it doesn't stop at Billy Napier
-
Brandon Jenner's Wife Cayley Jenner Is Pregnant, Expecting Baby No. 3 Together
-
Brandon Jenner, wife Cayley are expecting third child together
-
Willie Nelson, Bob Dylan, John Mellencamp set to headline Outlaw Music Festival Tour
-
Supreme Court seems likely to allow class action to proceed against tech company Nvidia
-
Pope Francis cancels audience due to a mild flu, Vatican says
-
Sean 'Diddy' Combs accused of sexually assaulting 'The Love Album' producer in new lawsuit
-
2024 NFL draft: USC's Caleb Williams leads top 5 quarterback prospect list