U.S. records strong jobs gains!
U.S. records strong jobs gains in October The latest U.S. jobs report bodes well for a flagging residential real estate market. The economy added 250,000 jobs in October and the unemployment rate held steady, hovering near a 50-year low at 3.7 percent, according to the U.S. Department of Labor. The top-line job creation number marked a vast improvement over a relatively weak September. The estimate for September was revised downward to 118,000 job additions. Job gains have averaged 218,000 over three months, the Labor Department reported. Significantly, wage growth also hit a new watermark, rising by 3.1 percent annually in October. This is the first time wages have posted annual growth of 3 percent in nine years, according to the Mortgage Bankers Association. Hourly wages rose 5 cents for the period, to $27.30. Fannie Mae Chief Economist Doug Duncan said the latest report further suggests a strong economy, but noted that some of the gain reflected a bounce-back from the storms in September. The hospitality sector gained 42,000 jobs, the strongest bounce since last October's recovery from Hurricanes Harvey and Irma. "The updated information released today suggests that the labor market remains strong and inflation remains manageable, supporting our call that the Fed will raise its key policy rate in December," Duncan said. "Meanwhile, the housing sector, another weather-sensitive industry, also registered job gains this month." Source: Scotsman Guide