Nonfarm payrolls in the US fell for the 10th straight month, as 240,000 jobs were lost in October. The consensus tabbed October for 200,000 job losses, so the report is pretty negative. The unemployment rate also surged ahead of expectations, to a 6.5% annual rate. Economists were anticipating a number around 6.3%. The unemployment rate is at a 14-year high, and its meteoric rise of 1.5% in the past five months accounts for most of the gain in the last year.
Job losses were deep and widespread across industries, according to the survey of work sites. Of 274 industries, 37.6% were hiring in October, the lowest since June 2003. The brightest spot continued to be healthcare, which added 26,000 jobs in October. Government added 23,000 jobs.
Goods-producing industries cut 132,000 jobs. In manufacturing, 90,000 jobs were lost, including 27,000 due to a strike at Boeing Co. Of 84 manufacturing industries, 27.4% were hiring.
Construction lost 49,000 jobs.
In the services, 108,000 jobs were lost, including 38,000 in retail, 24,000 in financial services and 51,000 in temporary-help jobs.
Year to date, US payroll employment has fallen by 1.18 million. Two months ago that number stood at 557,000. And that number doesn’t include discouraged workers or workers forced to take part-time jobs, which should also be widespread.
See Full Report.