Unemployment Rate Drops to 7.8% As Economy Adds 114K Jobs
Nonfarm payrolls in the US increased 114,000 in September -- 1,000 less than the 115,000 that was expected. What may have been most significant was the change in the unemployment rate -- it fell to 7.8% from 8.1% last month.
Stocks reacted positively, as futures spiked on the data and markets moved higher throughout the morning session. Early Friday, the Dow was up over 50 points while the S&P 500 traded up about 7 points.
Goldman Sach's Jan Hatizus on CNBC stated that much of the new jobs were government and part-time workers.
Jack Welch made a comment on twitter that suggested that the former GE (NYSE: GE) CEO believed the number to have been tampered with.
The U.S. Press Secretary Solis responded to Welch's comment, stating that the numbers were not doctored and were conducted by some of the finest economists.
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