U.S. economy added more jobs than expected in December

Jobs are up, but markets are down

U.S. payrolls expanded in December, with the better-than-anticipated report illustrating a still-thriving labor market that gave the Federal Reserve incentive to hike interest rates.

The U.S. added 292,000 jobs last month, and the unemployment rate remained unchanged at 5 percent, the Labor Department said Friday.

Most economists had forecast gains of 200,000 jobs and an unchanged unemployment rate.

Unlike recent months, Friday's report was not released with an imminent rate decision by the Fed in mind.

"This is the least important jobs report we've had in the last three months, so the fact that this jobs report is good is nice, but I don't think anybody was on the edge of their seat," said JJ Kinahan, chief strategist at TD Ameritrade. "The good thing about it is, the economy is still growing -- construction jobs were so good for a second time in a row, that shows a growing economy, be it through government or the private sector."

Previous reports were revised to add 50,000 jobs over the past two months, with payrolls increasing by 2.65 million in 2015 after rising 3.1 million the year before.

Temporary-help services, health care, transportation and contraction led the December job additions, with moderate weather across much of the United States likely a factor.

While U.S. companies continue to add workers, wages have lagged, with average hourly earnings little changed last month from November, and up 2.5 percent in 2015.

"If you're looking for something to be concerned about, there's the fact that average hourly earnings were basically unchanged, so concerns about (the lack of) inflation, that still exists," said Kinahan.

Already sharply higher in tracking gains overseas, U.S. stock futures added to their gains in the wake of the jobs report.

Data curated by FindTheData
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