US Economy Adds 275,000 Jobs in February, Unemployment Rate Reaches 3.9%
The US economy exceeded expectations by creating more new jobs than anticipated in February.
However, there was a slight uptick in the unemployment rate for the first time in four months, suggesting a potential softening in the labor market.
Data from the Bureau of Labor Statistics revealed a significant addition of 275,000 nonfarm payroll jobs, surpassing economists' forecast of 200,000.
The unemployment rate rose to 3.9% from January's 3.7%, marking its highest level in two years.
January's job growth was revised downward from 353,000 to 229,000, indicating fewer jobs were added than initially reported.
Overall, revisions showed 167,000 fewer jobs added in December and January than previously estimated.
Wage growth in February was slower than expected, increasing by only 0.1% compared to economists' forecast of 0.2%.
Economists suggest that the Federal Reserve may be less concerned about inflation due to the weaker-than-expected wage growth and downward revisions in job gains.
The labor force participation rate remained unchanged at 62.5%, while average weekly hours worked increased slightly from 34.1 to 34.3.
Healthcare and government sectors saw the largest job increases in February, with 67,000 and 52,000 jobs added respectively.