Survey: US businesses added a solid 190,000 jobs in November

In this Tuesday, Oct. 3, 2017, photo, job seekers wait in line to apply for part-time, full-time or seasonal positions at a job fair held at Dolphin Mall in Sweetwater, Fla. On Wednesday, Dec. 6, 2017, payroll processor ADP reports how many jobs private employers added in November. (AP Photo/Alan Diaz)

WASHINGTON — U.S. businesses added a robust 190,000 jobs in November, according to a private survey, a sign that hiring is strong enough to reduce an already-low unemployment rate.

Payroll processor ADP said Wednesday that last month's hiring followed an even larger gain of 235,000 in October. Some of October's job increase reflected a bounce-back from hurricane effects, which lowered hiring in September to just 96,000.

Manufacturers helped drive the increase, adding 40,000 jobs, the largest gain this year, ADP said. Health care added 31,000 positions, and a category that includes restaurants and hotels hired 25,000.

"The job market is red hot," Mark Zandi, chief economist at Moody's Analytics, which compiles the report, said.

Job gains at last month's pace should, over time, drive down the unemployment rate, which is currently at a 17-year low of 4.1 percent.

The rate could fall below 4 percent by late 2018, Zandi said, which would put it near 50-year lows.

That could cause the job market to "overheat," Zandi noted, in that wages would rise more quickly, potentially pushing up inflation. The Federal Reserve would likely respond with faster interest rate increases, which typically slows growth.

U.S. manufacturers are benefiting from broad improvement in the global economy, which is lifting their exports. Auto manufacturers are also producing and hiring more, in part because auto sales have risen as residents to Texas and Florida replace hurricane-damaged cars.

Similar News

Asian shares climb, tracking gains in US stocks, oil prices

Aug 12, 2016

Asian shares rose Friday, tracking the rally in U.S. stocks that was driven by strong gains by energy companies and retailers

WHY IT MATTERS: All will be touched by choice in November

Aug 11, 2016

Hillary Clinton and Donald Trump offer voters distinct choices this fall on issues that shape everyday lives

IMF, Egypt agree on $12B loan to fix ailing economy

Aug 11, 2016

The International Monetary Fund says it will grant Egypt a $12 billion loan over three years to help the Arab world's most populous country mend its ailing economy following years of unrest

Broaden