October 2016 - US Non-Farm Payroll Numbers

The October US non-farm payroll numbers revealed that 161,000 jobs were created; forecasts expected 173,000 and the unemployment rate is 4.9%. This aspect of the employment report was below expectations. Hurricane Matthew likely caused the shortfall.

However, the rest of the report showed significant growth in wages, upward revisions to previous numbers and a substantial drop in the U6 (actual unemployment rate) unemployment numbers.

• August 167,000- revised upward to 176,000
• September 156,000- revised upward to 191,000

Average hourly earnings increased by 0.4% in October for a year-over-year increase of 2.8%, the highest since June 2009.

U6 unemployment is 9.5%, the lowest since April 2008.

Overall the employment numbers show significant improvements, thus giving the Fed reason to hike in December.

I will be watching to see how metals and miners react to this news throughout the day.