10/08/2026
September's jobs report came in softer than expected, with payrolls rising just 29,000 and prior months revised lower. While the headline number will grab attention, the broader labor market story remains one of moderation, not deterioration.
The three-month average of job growth remains consistent with a stable labor market, layoffs are still historically low, and wage growth continues to ease. At the same time, the uptick in unemployment was driven largely by increased labor force participation rather than rising job losses.
For markets, the key takeaway is that September's report should significantly reduce the urgency for an October Fed rate hike. With labor market overheating absent and wage pressures continuing to cool, inflation remains the critical variable for policymakers.
https://livesocial.seismic.com/a-miuv
