The December jobs report blew past expectations when it was released Thursday, and stocks rose dramatically as the American economy continues to expand, despite the government stalemate in Washington, according to CNBC.
Expectations weren’t necessarily low, but rather relatively moderate considering the pace of the job market over the past two years. With analysts expecting non-farm payrolls to increase by 177,000, they didn’t think the year 2018 would end on a high note. Analysts were taken aback when they realized the 312,000 jobs that were added in December.
Wall Street was also affected by the jobs report, with the Dow Jones rising over 700 points and the Nasdaq going up 70 points, leaving the year 2018 on a very high note, despite the growing concerns of a lengthy government shutdown and a congressional stalemate in our nation’s capital.
The December jobs report also included a correction to the November jobs report, raising it from 155,000 to 176,000, noting that manufacturing jobs grew by 32,000 and construction increased by 38,000. Health care jobs also grew by 50,000.
“There was a big jump in education and health, the biggest month of hiring since 2013, and manufacturing had its best month since December 2017,” said Peter Boockvar, Bleakley Advisory Group’s chief investment officer. “Looking at it as a whole, it’s great, but I don’t think anyone should take that and extrapolate this to what hiring intentions will be in 2019 because it’s clear that economic conditions have changed.”