In September, employment growth in the United States slowed to its weakest pace of the year, indicating that the Delta form of the coronavirus and a chronic labor shortage hampered the economy’s recovery.
According to the Labor Department, the economy gained 194,000 jobs in September, the fewest since December 2020 and down from 366,000 jobs added in August. While employment growth in September fell short of experts’ estimates, it was higher than originally projected in August.
According to the data, many people gave up their job hunt and left the workforce last month. Despite the decrease in hiring, the unemployment rate fell to 4.8 percent last month from 5.2 percent in August, owing to the smaller labor pool.
Demand is robust, which is uncommon for the economy. Households are loaded with cash and have boosted their expenditure on goods and services significantly this year. Businesses, on the other hand, are having trouble finding people to service them, as part of a wider supply crunch that is affecting the United States and the rest of the world.
The Dow Jones Industrial Average fell 8.69 points and the S&P 500 fell 8.42 points as a result of the story.