The U.S. labor market slowed in September, new data released Friday from the U.S. Bureau of Labor Statistics showed.
The economy added just 29,000 jobs, less than economists expected. The unemployment rate rose to 4.2%.
The average hourly earnings of workers increased by only 0.1% from the previous quarter and 3% from the same period last year.
In addition, 60,000 positions were revised compared to previous months. “The change in total nonfarm employment in July is revised down by 31,000, from +21,000 to -10,000, and the change in August is revised down by 29,000, from +162,000 to +133,000,” the Bureau of Labor Statistics said in a statement.
Overall, economists expect 84,000 jobs to be added, the employment rate to remain unchanged at 4.1%, and incomes to rise 3.1% from a year ago, according to the Dow Jones survey.
Friday’s data is the last jobs report before the midterm elections. Economic poll numbers for Republicans and President Donald Trump have been sliding for months as trade wars with close allies such as Canada have intensified, wars with Iran and Ukraine have raged, and tariffs have continued to roil the global economy.
On top of these problems, global bond yields have soared to levels not seen in decades. This week, U.S. 10-year and 30-year Treasury bond yields surged to their highest levels since 2002, causing the average 30-year fixed mortgage rate to surge to 7.6%.
Meanwhile, natural gas prices remain nearly 50% higher than when the United States and Israel began their war against Iran in late February, and commercial diesel prices are 70% higher than earlier this year.
Still, hiring appears to be continuing at a steady pace, although overall hiring in September was down from August’s surprising 162,000 new hires.