The U.S. economy added 151,000 jobs in February, falling short of the 170,000 economists had expected, according to the latest Bureau of Labor Statistics report.
- The unemployment rate ticked up to 4.1%, its highest level since December, after briefly dipping to 4.0% in January
- Job growth was up from January’s revised number but still the second-lowest in the past four months.
By The Numbers: Healthcare led hiring with 52,000 jobs followed by financial activities(+21k), transportation & warehousing(+21k), and social assistance(+18k) also posted gains.
- Meanwhile, retail lost 15,000 jobs, largely due to strike activity.
- Wage growth slowed, rising 0.3% in February compared to 0.4% in January, though annual wage growth edged up to 4.0% from 3.9%.
What They’re Saying: Heather Long at the Washington Post did notice one troubling sign in the report “People working part-time for “economic reasons” (meaning they could not find a full-time job) jumped by +460,000 to 4.9 million. This metric can be an early warning sign. It’s currently at the highest level since May 2021.”
Bottom Line: Job growth remains solid, but the labor market is clearly cooling. With wage gains moderating and more workers unable to find full-time jobs, signs of economic slowdown are becoming harder to ignore.
