In November 2024, U.S. hiring activity rebounded sharply, with non-farm payrolls increasing by 227,000, exceeding expectations of 200,000.
This recovery followed a weak October (+36,000) affected by adverse weather and labor strikes. Key contributors included transportation equipment manufacturing (+32,000 jobs), healthcare (+54,000), and leisure and hospitality (+53,000), while retail trade saw a decline (-28,000).
The unemployment rate rose slightly to 4.2% (October: 4.1%), and wage growth remained steady at +4.0% year-over-year.
Despite strong job growth, the Federal Reserve is expected to proceed with a rate cut in December due to signs of a cooling labor market. However, persistent inflation and potential tariff hikes may prompt the Fed to pause or maintain restrictive monetary policy longer if inflation accelerates again.
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