Delayed Jobs Report Beats Expectations

The new jobs report is out, and it shows that hiring was significantly stronger than expected in September. The report—delayed for weeks because of the government shutdown—is the last key piece of labor data the Federal Reserve will have ahead of its next meeting in December. Takeaways:

• Main number: Employers added 119,000 jobs in September, well above Wall Street expectations of 50,000, reports CNBC. The figure is also up sharply from August, with that month's revised figure showing a loss of 4,000 jobs.
• The rate: The unemployment rate ticked up from 4.3% to 4.4%, though it was expected to hold steady, per the Wall Street Journal. The rate is now at its highest since October 2021.

• Reaction: Investors seemed pleased. Dow futures were up about 260 points just before the report's release—thanks to Nvidia earnings—and they rose more than 100 points once the new data came out.
• Fed fodder: The next jobs report, for October, will be released only in partial form next month because of the shutdown. And its data won't be released in time for the Fed to see it before its next meeting on Dec. 9. The New York Times notes a dilemma in the new stats: Strong hiring typically has the Fed leaning against a rate cut, but a rising unemployment rate suggests the opposite.