US Adds 29,000 Jobs in September; Past Revisions Lower

Specifically, the construction sector added 11,000 jobs, while manufacturing and durable goods also experienced modest gains. However, growth in the leisure sector slowed significantly, adding only 10,000 jobs compared to 37,000 in the prior month, and healthcare employment moderated to 17,000 new jobs.

August also saw a downward revision of 29,000 jobs, with the initial figure of 162,000 dropping to 133,000. These adjustments collectively reduced job additions for the two-month period by nearly 60,000 positions.

This shift suggests investors anticipate a less aggressive stance from the Federal Reserve, with odds for holding rates steady in October now at roughly 72% and December rate hike expectations cooling to approximately 80%.

Manufacturing employment has increased by 72,000 jobs since its recent low in December 2025, demonstrating resilience in the sector.

Conversely, financial activities have shed 129,000 jobs since a peak in May 2025, with an additional 7,000 jobs lost this month, potentially signaling labor replacement due to AI modeling capabilities.

While the decline in financial services suggests a possible impact from AI, analysts caution that correlation does not equate to direct causation.

Average hourly earnings increased by only one-tenth of one percent, or 3% year-over-year, falling short of market estimates.

This slow pace of earnings growth exacerbates the existing problem for Americans, who face a significant gap between their income and the rising cost of daily expenditures, making the current job growth numbers of 29,000 barely sustainable.