Non-Farm Payrolls Soar

The Bureau of Labor Statistics just released its Jobs Report for March and the news was better than expected. Non-Farm Payrolls jumped 916k last month against an estimated rise of 660k. In addition, February’s tally of 379k was revised to 468k. Net revisions for the prior two months added 156k. The Unemployment Rate fell to the expected 6% from 6.2%. The Labor Force Participation Rate managed a slight rise of 0.1% to 61.5%. Average Hourly Earnings dipped 0.1% for the month and that was unexpected. Year-over-year, the growth rate in AHE fell to 4.2% from 5.2%. Analysts expected a smaller decline to 4.5%. Average Weekly Hours saw a positive rise to 34.9 from 34.6. The Employment-to-Population ratio also improved to 57.8% from 57.6%.

Some of the biggest job-gaining sectors were Leisure and Hospitality with a boost of 280k and Government with a pick-up of 136k. Education and Health Services gained 101k new jobs while Manufacturing saw a rise of 53k. Treasury prices are slightly lower across the curve with the Long Bond yielding 2.35%, the Ten-Year’s yield is around 1.69% and the Two-Year has moved up a basis point or two to 17 basis points. Crude oil has gained a couple of dollars to $61.45 while gold is little changed at $1,729. Equity markets liked this morning’s news and futures are bright green.