Defying forecasts, the U.S. unemployment rate decreased to 4.3% in March, down from 4.4% the month before, as a solid bounce-back in payrolls suggested the labor market remains resilient.
The stronger-than-expected report from the Bureau of Labor Statistics released Friday showed that nonfarm payrolls grew by 178,000 jobs last month.
The segments of the job market that saw the biggest gains in March included health care (+76,000), construction (+26,000), and transportation and warehousing (+21,000), but federal government employment continued to decline.
For the broader economy and the Federal Reserve, the March numbers reinforce a holding pattern, suggesting that the "wait-and-see" approach is likely to persist.
"The labor market is best described as plodding rather than deteriorating," says Realtor.com® senior economist Jake Krimmel. "It is not strong enough to drive growth, but not weak enough to force policy action, which is at least some good news as the Fed has its hands full with renewed inflation fears."
This is a developing story. Please check back later for updates.
