The unemployment rate in the world’s largest economy unexpectedly fell from 7.9 to 7.7% – as payrolls rose by 146,000 in November, well ahead of analyst forecasts. The optimistic numbers thus suggest that the United States has gained monument despite worries about the imminent fiscal cliff of tax rises and spending cuts.
Experts commented that the improvement is unlikely to have an immediate impact on monetary policy, but if the jobs market does not lure more people to look for work, then it will force the Fed to rethink its stance. Currently, the US economy is set to grow by 2%.
The Bureau of Labour Statistics also said that the analysis suggests that Hurricane Sandy ‘did not substantively impact the national employment and unemployment estimates for November’.