US Stocks Open Higher After Strong US Employment Numbers

Wall Street was set to open higher on Friday after payrolls data showed strong job additions in February, but a slowdown in wage growth pointed to a gradual rise in inflation, tempering expectations of faster interest rate increases.

Nonfarm payrolls jumped by 313,000 jobs last month, boosted by the largest gain in construction jobs since 2007, recording its biggest increase in more than 1-1/2 year, the Labor Department said.

Average hourly earnings edged up four cents, or 0.1 percent, to $26.75 in February, a slowdown from the 0.3 percent rise in January. That lowered the year-on-year increase in average hourly earnings to 2.6 percent from 2.8 percent in January.

“The great news is the labor participation rate went up, the headlines number are great, and the average hourly earnings has settled back down into consensus,” said Art Hogan, chief market strategist at Wunderlich Securities in New York.

via Reuters

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza