🚨November job market report is worse than many think
Please find the job market breakdown of the world's largest economy
The Bureau of Labor Statistics (BLS) estimates the US economy created 227,000 jobs in November, according to a job report released Friday, 6th of December. This was slightly above Wall Street’s expectations of 220,000 jobs addition. The unemployment rate rose to 4.2%, also above forecasts.
In fact, the jobless rate increased to 4.246% unrounded, just below the high of 4.253% seen in July and it remains above its 36-month moving average.
Interestingly, following the data release the market started pricing in a higher chance of a 0.25% rate cut by the Fed at the next meeting scheduled for December 18 suggesting the report is not as good as media headlines claim. The market is pricing an 86% probability of a 0.25% reduction, up from 73% last week.
As usual, in the following sections, we dig into the details of the report and explain the real picture of the labor market.
ESTIMATED REVISIONS POINT TO NEGATIVE JOB GROWTH IN SOME MONTHS IN 2024