The U.S. economy far exceeded job growth expectations last month, according to new data released Friday.
Employers added about 254,000 jobs in September, according to the Bureau of Labor Statistics.
This is much higher than job growth in August, which was 159,000, and dashed economists’ expectations of a gain of 140,000 jobs.
The unemployment rate also fell to 4.1 percent, despite forecasts that it would remain stable at 4.2 percent.
Stocks rose after the blockbuster report, which gave Wall Street further reassurance that the labor market is on solid ground.
Employers added about 254,000 jobs in September, according to the Bureau of Labor Statistics.
S&P 500 futures rose 0.7 percent, while futures linked to the Dow Jones Industrial Average gained 0.5 percent.
The premarket gains marked a significant turnaround for Wall Street after rising geopolitical tensions led to a rocky start to October.
The report also revised employment growth figures for August and July.
It added 17,000 to the August total, bringing it to 159,000, and added 55,000 jobs to the July total, bringing monthly growth to 144,000.
These upward revisions should ease concerns about the state of the labor market and the Federal Reserve likely blocking a more gradual pace of interest rate reductions following its huge cut last month.
As inflation continues to cool, the central bank has reiterated its mandate to ensure that there is no sharp deterioration in the labor market either.
This is breaking news. Updates to come.
