US economy added 165,000 jobs in October, unemployment at 4.1%

what happened

According to newsbtc.com, citing the Bureau of Labor Statistics, nonfarm employment grew by 165,000 in October, while the unemployment rate stayed at 4.1%. The biggest gains came in professional and business services, which added 70,000 jobs, along with healthcare and transportation and warehousing. The agency also revised August and September upward by a combined 84,000 jobs.

Average hourly earnings for private-sector workers rose 0.4% over the month and 3.1% over the year. Wage trends matter for the inflation outlook, although prices depend on many other factors as well.

why it matters

A firm labour market gives the Federal Reserve less reason to cut rates quickly, which can support the dollar and Treasury yields and reduce the appeal of easy-money scenarios for risk assets such as Bitcoin. The publisher notes, however, that a single report does not decide policy or explain market moves on its own.

market impact

Dollar and US Treasuries: strong jobs data reduces odds of quick Fed easing, supporting yields

• ↔Bitcoin mixed — weaker easing expectations pressure risk assets, but the link to the data is not clear-cut

tags

instruments