The U.S. unemployment rate fell in September to a new five-decade low of 3.5 percent, while employers added a modest 136,000 jobs.
The September unemployment rate fell from 3.7 percent in August. The average hourly wages slipped by a penny. Hourly pay rose 2.9 percent from a year earlier, lower than 3.4 percent at the beginning of the year, the Labor Department said Friday in its monthly jobs report.
Recent job gains have averaged 157,000 in the past three months, enough to absorb new job seekers and potentially lower unemployment over time.
The September jobs report is likely to keep the Federal Reserve on track to cut rates later this month for the third time this year to try to help sustain the expansion.
The unemployment rate for Latinos fell to 3.9 percent, the lowest on records dating from 1973.
Non-farm payrolls increased by 136,000 jobs last month, the government said. August data was revised to show 168,000 jobs created instead of the previously reported 130,000 positions.
The initial August job count was probably held back by a seasonal quirk related to students leaving their summer jobs and returning to school. Economists polled by Reuters had forecast payrolls would increase by 145,000 jobs in September.
President Donald Trump cheered on the drop in unemployment on Twitter, taking a jab at the Democrats in the House of Representatives for their recent announcement of an impeachment inquiry against him.
“Unemployment Rate, at 3.5%, drops to a 50 YEAR LOW,” he said. “Wow America, lets [sic] impeach your President (even though he did nothing wrong!)”
Breaking News: Unemployment Rate, at 3.5%, drops to a 50 YEAR LOW. Wow America, lets impeach your President (even though he did nothing wrong!).
— Donald J. Trump (@realDonaldTrump) October 4, 2019
The Trump Economy
Trump has taken credit for accelerated economic growth and progressively low unemployment under his watch. He owes part of his success to assuming office during an economic expansion. Yet he also boosted the boom by cutting taxes and regulations and instilling in businesses confidence in future economic prospects.
The job market has been among the most solid indicators in Trump’s economy, steamrolling over skeptics with continued growth.
While some sectors, such as clothing and electronics stores and heavy construction, have lost thousands of jobs in the past year, other parts of the market have more than made up for the loss.
Even Trump’s trade war with China, which led to both countries imposing batteries of import tariffs, hasn’t stopped the jobs market from expanding.
Trump has been pressing China to open up its market more to U.S. goods and to drop underhanded practices, such as forced technology transfer from foreign companies, theft of U.S. intellectual property, and currency manipulation.
The Associated Press, Reuters, Epoch Times reporter Petr Svab contributed to this report.
