Source: Sharecast
Payrolls rose by 29,000, while the unemployment rate ticked up to 4.2% from 4.1%. Payrolls had been expected to increase by 84,000 last month, while the unemployment rate was forecast to be unchanged.
The data for August was revised down by 29,000 to show that 133,000 jobs were added, versus the 162,000 previously reported. Meanwhile, the change for July was revised down to show that 10,000 jobs were lost, versus a 21,000 gain previously reported.
The BLS said employment in construction, manufacturing and financial activities was little changed.
"Employment also showed little change over the month in other major industries, including mining, quarrying, and oil and gas extraction; wholesale trade; retail trade; transportation and warehousing; information; professional and business services; social assistance; leisure and hospitality; other services; and government," it said.
The labour force participation rate nudged up to 61.8% in September from 61.7% in August, while average hourly earnings rose just 0.1% on the previous month and 3% on the previous year.
US stock futures extended gains and bonds rallied after the weaker-than-expected report raised expectations the Federal Reserve will keep rates on hold at its meeting this month.
Susannah Streeter, chief investment strategist at Wealth Club, said: "The figures suggest the jobs engine is losing a little steam, but isn’t spluttering to a halt, so the snapshot has been greeted as a dose of better news and a sign that the Fed may be a tad more wary about hiking borrowing costs. Rather than a rapid succession of rate rises, chances are increasing for a more measured path ahead, closer to the prospect of two further increases.
"This has eased the jolt of deep unease which had hit bond markets this week over the prospects of inflation bedding in and prompting a rapid hiking cycle. The S&P 500 has risen in early trade, and the FTSE 100 has hung onto positive territory. But given that energy prices remain elevated, with Brent Crude close to $100 a barrel, there is still a huge amount of uncertainty around, and investors are set to stay twitchy until a long-term resolution to the Iran conflict can be agreed."