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US employers added 303,000 jobs in March, far outstripping expectations, in a sign that the labour market remains buoyant despite high interest rates.
The figures released on Friday by the US labour department were much stronger than the 200,000 job gains anticipated by economists polled by Reuters.
The unemployment rate edged down to 3.8 per cent, compared to a predicted 3.9 per cent.
The data comes as the Federal Reserve is weighing when to start cutting interest rates from their current range between 5.25 per cent and 5.5 per cent.
Strong jobs data and higher than expected inflation figures in recent months have caused the Fed to signal there is no rush to start lowering interest rates.
This week, Fed chair Jay Powell said the economic outlook had not “materially changed”. However he added he needed “greater confidence” that inflation was falling to the central bank’s 2 per cent target before cutting rates, saying there was “time” to weigh the decision.
The monthly jobs report will become increasingly important to US President Joe Biden’s re-election chances as the November vote draws closer. Biden has tried to tout his strong record on employment creation since he came to office, but polls have shown that voters disapprove of his performance on the economy.
This is a developing story
