One chart shows where jobs will be available in December 2024.
- Nonfarm payrolls growth came in much higher than expected for December.
- In three consecutive months, the economy has seen gains in employment across various sectors, with health care and social assistance continuing to lead the way.
- Retail jobs in December rebounded from large declines in November.
The U.S. economy continued to show unexpected growth in December, with gains coming from various sectors.
For the third month in a row, the health care and social assistance sector experienced the largest job growth, with an additional 69,500 employees added to payrolls, according to Bureau of Labor Statistics data. If private education is included, the growth in the health care group would have been 80,000.
Last month, the retail trade added 43,400 jobs, while leisure and hospitality followed with a 43,000 job increase, ranking second and third in job growth.
In December, the government sector experienced a growth of 33,000 jobs, making it the top four job provider.
"According to ZipRecruiter's chief economist, Julia Pollak, job growth has recently been concentrated in government and health care. However, there are signs that it may be broadening out."
The retail industry experienced a significant improvement in growth in December, following a decline in November. This was due to the increase in employment across various categories. Notably, clothing, clothing accessories, shoe and jewelry retailers saw an increase of 23,000 positions, while general merchandise retailers and health and personal care retailers grew by 13,000 and 7,000 jobs, respectively, according to BLS data.
Pollak stated that the rise is not just a temporary increase, but rather reflects other data indicating a positive trend in the industry.
The sales index, which measures state retail activity, hit its highest level since late 2021, according to the Federal Reserve Bank of Dallas' December Texas Retail Outlook Survey.
"The housing market is likely to experience more movement in the near future, according to Pollak, who stated that retailers are more optimistic about 2025 and have a strong consumer base to support their confidence."
While retail trade experienced growth in December, manufacturing suffered a decline, losing 13,000 jobs.
In November, mining and logging, and wholesale trade reversed course, with mining and logging employment dropping by 3,000 and wholesale trade slumping by 3,500 positions.
The financial and professional services sectors, as well as financial activities, remained strong, with these three groups among the nine that created jobs in 13 industries last month.
"Pollak stated that there has been improvement in total vehicle sales, Americans are making big ticket purchases again, and businesses are also buying vehicles. These trends have been picking up over the last few months, and this report suggests that perhaps a recovery is starting to take hold."
Markets
You might also like
- Delinquencies are on the rise while a record number of consumers are making minimum credit card payments.
- U.S. economy state weighs on little changed treasury yields.
- European markets predicted to sustain positive growth.
- Trump hints at imposing a 10% tariff on China starting in February.
- David Einhorn believes we are currently in the "Fartcoin" phase of the market cycle.