United States Economy Added an Estimated 216,000 in December United States Economy Added an Estimated 216,000 in December
US Decmer 2034 jobs report graph

United States Economy Added an Estimated 216,000 in December

The United States economy closed out 2023 with yet another impressive jobs report.

About the report:

According to the latest Bureau of Labor Statistics report, the U.S. economy gained 216,000 jobs in the last month of 2023. That easily beat the 175,00 jobs expected by economists surveyed by Bloomberg. Meanwhile, the unemployment rate was flat month-over-month, sticking at 3.7% (economists had anticipated it to tick up).

While December’s figures were higher than expected, the Labor Department revised figures for the two previous months downward. For November, it is now believed that the economy added 173,000 jobs instead of the originally reported 199,000. Similarly, October’s jobs numbers were revised to 105,000 (down 45,000 from the previous figure).

The report also found that wages increased in December. Average hourly earnings reached $34.27 in the month, marking a 15¢ or 0.4% increase. With that, average wages increased 4.1% over the past 12 months.

What they’re saying

As for what the latest numbers means for investors and the economy at large, BlackRock’s Rick Rieder told Marketwatch that the new info may serve as a “dose of reality” for those who had hoped the Federal Reserve would quickly slash interest rates. Rieder said, “Today’s job report was illustrative of a very gently cooling economy that still displays a solid demand for workers. The headline payroll number of 216K jobs gained made it very clear that the labor market is not at all close to falling off a cliff.”

Despite the feeling that rate cuts may not be as aggressive as some hoped, the Fed is still expected to lower interest rates this year. As Oxford Economics’ lead US economist Nancy Vanden Houten told Yahoo Finance, “There is a lot of noise in the data, but we continue to expect that there will be enough evidence of a further loosening in labor market conditions and a decline in inflation more broadly to allow the Fed to begin cutting rates in May.”

My thoughts:

The “Soft Landing Saga has continued for months now — yet it seems that each passing month only brings more confusion and mixed signals. That’s once again the case here as economists seems split on what exactly this report means and how strong it is. On top of that, as we’ve seen time and time again, revisions in future months could serve to paint a different picture than the one on display right now. Therefore, while investors and consumers are likely anxious for the Fed to lower rates, further patience is definitely required.

Author

Kyle Burbank

Head Writer ~ Fioney
Kyle is the head writer for Fioney. He is a personal finance nerd, constantly looking for new apps and services to test and incorporate into his own financial game plan. In addition to his role at Fioney, he's written for other publications including Born2Invest, Lifehack, and Laughing Place, as well as his own site Money@30. He also creates personal finance and travel-related videos for Money@30's YouTube channel, which has garnered more than 2 million views. Currently, Kyle resides in Springfield, Missouri with his wife of 10 years. Together, they enjoy traveling (including visiting Disney Parks around the world), dining, and playing with their dog Rigby.

Other Articles by Kyle Burbank

Reddit logo

Reddit Announces Plans to Allow Redditors to Buy Its IPO Stock

Reddit has revealed more details about its planned initial public offering (IPO), including offering shares to users. About the IPO details: In an S-1 filing with the Securities and Exchange Commission (SEC), Reddit laid out some details about its IPO plans. As part of this, the site notes that it intends to allow Redditors (a nickname for users) to purchase shares at IPO prices. Specifically, the company says it intends...
Dub logo

"Copy-Trading" Platform Dub Raises $17 Million

A FinTech brokerage platform that makes it easy to share and follow portfolio strategies has closed a new round of funding. About the round: Dub has announced that it's raised $17 million — including $15 in equity deals and a $2 million debt facility. The seed round was led by Tusk Ventures with several other venture firms as well as individuals participating. This list includes Uber CEO Dara Khosrowshahi, Apex...
snowed in house

Lessons From a First-Time Home Buyer: Surviving Our First Winter

One major difference between Springfield, Missouri and my previous city of residence (Glendale, California) is that, here, we have these things called "seasons." Furthermore, unlike a California winter where you might have to put on a sweater when it dips into the 40s, we do see snow, ice, and occasional sub-zero temperatures here in the Midwest. In turn, when we bought our home in whirlwind fashion, I knew we'd immediately...
The "Email" field is empty, you must enter some text to proceed.The text you entered in the "Email" field appears to be invalid, please edit it and try again
Get the Latest News Delivered to Your Inbox

FedEx Announces Winners of 11th Annual 2023 Small Business Grant Contest

Nearly three months after the entry period ended, FedEx has announced the winners of its 11th annual Small Business Grant Content. This year's event saw more than $300,000 in funds going to a variety of small businesses across the nation. Last month, the company revealed 100 finalists, with that list now being narrowed down to just 10 winners. This year's grand prize winners included KindVR, The Cupcake Collection, Up In...
H-E-B and Central Market  credit cards

Imprint Launches Credit Cards from H-E-B and Central Market 

The FinTech Imprint is partnering with the popular Texas-based grocery chain H-E-B for a pair of new rewards credit cards. This week saw the launch of the H-E-B Visa Signature Credit Card as well as the Central Market Visa Signature Credit Card. With these two (nearly identical) options, customers will be able to earn rewards on groceries and beyond. First, both versions of the card earn up to 5% back on select...
Summer app

Student Loan Benefit FinTech Summer Raises $6 Million

For years, student debt has been one of the most talked about financial topics. What's more, while the debt itself has become a major part of many Americans' lives, discussion of student loans has become political due to efforts to forgive certain loan repayments. However, while we wait for resolution on that front, a FinTech that brings student debt benefit solutions to employers and consumers has raised a new round...
Choice Privileges Select Card

Choice Hotels, Wells Fargo Debut Choice Privileges Select Card

With spring well underway and the summer travel season now just around the corner, Choice Hotels and Wells Fargo have unveiled their latest co-branded credit card offering. Today, the two companies announced the Choice Privileges Select Mastercard. Carrying an annual fee of $95, this card will serve as the premium option in the hotel brand's new lineup. Looking at the Choice Privileges Select, it offers a mix of rewards categories....
Melissa Urban holding a Ness card

Health and Wellness Rewards Card Ness Partners with Whole30

In recent years, several unique rewards cards have come to market. These include offerings from FinTech startups as well as brands looking to do something special for their loyal fans. On that note, a recently-announced rewards credit card offering is now working with a popular brand to introduce new benefits for customers. This week, the Ness Card (which is issued by The Bank of Missouri) unveiled a new partnership with...