US economy creates only 29,000 nonfarm jobs in September

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In a mixed jobs report, the U.S. economy created a disappointing 29,000 nonfarm jobs in August, according data released Friday by the U.S. Bureau of Labor Statistics.

The unemployment rate rose to 4.2%, up from 4.1% in August.

Private sector jobs rose 46,000 in September, while government jobs declined by 17,000.

Other metrics in the report were more positive.

According to the BLS, the labor force participation rate rose to 61.8%, up from 61.6% in August.

The average work week remained stable at 34.4 hours, but wages rose only 3%.

Manufacturing employment changed little, adding 9,000 jobs, but is up by 72,000 since a recent low in December 2025.
Over the month of September, employment increased in plastics and rubber products manufacturing by 5,000 jobs and the same amount in machinery manufacturing.

Healthcare employment continued its upward trend in September, adding 17,000 jobs, but at a slower pace than the average monthly gain of 33,000 jobs over the prior 12 months.

In terms of monthly revisions, which result from additional reports received from businesses and government agencies, the change in total nonfarm payroll employment for July was revised down by 31,000, from an addition of 21,000 to losing 10,000 jobs.

The change for August was revised down by 29,000, from adding 162,000 to 133,000 jobs.

With these revisions, employment in July and August combined is 60,000 lower than previously reported.

The Dow Jones futures market responded positively to the news, rising over 500 points by 8 a.m. Central Standard Time, as the price of Brent crude oil dipped below $100 per barrel and investors anticipate the mixed report will prevent the Federal Reserve from raising interest rates in October.

Digital Partners