U.S. hir­ing pull­back could sig­nal slow­down in growth

The Saratogian (Saratoga, NY) - - WEATHER -

WASH­ING­TON >> U.S. job growth de­clined mod­estly in Novem­ber, a move that could sig­nal a slower but still steady pace of hir­ing and growth next year.

The po­ten­tial for a more ane­mic econ­omy con­trib­uted to a sharp drop in the stock mar­ket Fri­day, send­ing the Dow Jones av­er­age down 560 points, or 2.2%, by mar­ket close.

Yet most economists said last month’s job gain of 155,000 is more sus­tain­able than some of the larger in­creases posted ear­lier this year. And hir­ing at last month’s pace would make it eas­ier for the Fed­eral Re­serve to slow its in­ter­est rate in­creases, which in­vestors worry are weigh­ing on the econ­omy.

“This is the new Goldilocks,” said Josh Wright, chief economist at iCIMS, a re­cruit­ing soft­ware com­pany. “Still strong-enough job growth, but a more cau­tious Fed.”

The un­em­ploy­ment rate stayed at 3.7 per­cent, a nearly five-decade low, for the third straight month.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.