Economy Added Less than Expected Workers

US labour market added 136,000 non-farm employments in September 2019, below market expectations. The US Bureau of Labor Statistics revised employment figure upward from 159,000 to 166,000 for July and 130,000 to 168,000 for August. Through the first nine months of 2019, the economy added an average of 161,000 workers per month, a marked drop from last year’s average of 223,000 workers per month.

 

Manufacturing sector has been a key factor behind the slowdown in employments as reflected by ISM’s manufacturing PMI reading which was lowest in September since 2009. The sector has cut the jobs in last month for the second time this year.

 

The services sector, accounts for a much larger portion of the economy than manufacturing, has been still expanding. Industries, including health care, transportation and business services, added jobs in September 2019.

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