US jobs surge by 336,000 in September, unemployment holds at 3.8%

Leisure and hospitality led the way in terms of sector growth with 96,000 new employment. Government (73,000), healthcare (41,000), and professional, scientific, and technological services (29,000) were among the other gainers. Jobs in the film and sound recording industries decreased by 5,000 amid the Hollywood writers' strike, bringing the total number of jobs lost since May to 45,000.

The overall number of jobs increased by 234,000 in the service sector, while just 29,000 in the manufacturing sector. The leisure and hospitality sector's average hourly wages were unchanged from the previous month but increased 4.7% from the previous year.

The increase in private sector payrolls, which totaled 263,000, outpaced an earlier this week ADP report that predicted an increase of only 89,000.

Following a 0.2% increase in August, monthly pay growth remained mild at a pace of 0.2% for average hourly earnings. Wages grew 4.2% in the year to September after rising 4.3% in August.

The 3.5% rate that experts claim is consistent with the Fed's 2% inflation target is still being exceeded by wage growth.

The 10-year Treasury yield increased by 0.17 percentage points to 4.87%, rising to close to its highest levels since the beginning of the financial crisis, while Dow futures declined by more than 250 pints.