Total nonfarm payroll employment increased by 223,000 jobs in December, according to the Bureau of Labor Statistics, and the unemployment rate edged down to 3.5 percent. The gain in jobs — the lowest monthly total in 2022 — was in line with forecasts.
In addition, the totals for October and November were revised to 263,000 and 256,000, respectively, a total decrease of 28,000 jobs.
Average hourly earnings showed a deceleration in their growth, rising only 0.3 percent in December. In the past 12 months, wages have risen 4.6 percent.
The Federal Open Market Committee will be watching these numbers very closely in advance of its next meeting at the end of this month. Oxford Economics is forecasting the Fed will raise the federal funds rate target range by 25 basis points at that meeting.
In a rapid reaction comment, Oxford Economics noted: “The December employment report painted a picture of a still healthy labor market with some easing of wage pressur
