Editor's PiCK
US February Non-Farm Employment at 151,000... Below Expectations
Summary
- The U.S. non-farm employment index fell short of expert expectations, according to the U.S. Department of Labor.
- The February unemployment rate rose slightly to 4.1% compared to the previous month, exceeding expert expectations.
- The average hourly wage increase rate, which indicates wage inflation, was 4.0% year-over-year, falling short of forecasts.
The U.S. non-farm employment index fell short of market expectations.
The U.S. Department of Labor announced on the 7th (local time) that non-farm jobs in the United States increased by 151,000 compared to the previous month in February. This is below the expert forecast (159,000).
The unemployment rate for February was 4.1%, higher than expert expectations (4.0%). Compared to January's unemployment rate (4.0%), it rose by 0.1 percentage point. This is still lower than the natural unemployment rate (4.4%) estimated by the Congressional Budget Office (CBO).
Average hourly wages, which provide insight into wage inflation, increased by 4.0% compared to the same period last year. This figure is below expert forecasts (4.1%). On a month-over-month basis, it rose 0.3%, in line with expectations (0.3%).
The market was closely watching this employment report. This is because signals that the U.S. economy is slowing down have been appearing in various places.
Personal Consumption Expenditure (PCE) is a prime example. The January PCE announced at the end of last month decreased by 0.2% compared to the previous month. This is the largest drop in four years since February 2021 (-0.6%) during the COVID-19 pandemic.
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul
