U.S. job growth surged in October and the unemployment rate hit a 7½-year low of 5 percent in a show of economic strength that makes it much more likely the Federal Reserve will raise interest rates in December.
Nonfarm payrolls increased 271,000 last month, the largest rise since December 2014, the Labor Department said Friday. In addition, average hourly earnings rose a respectable 9 cents. The payrolls jump follows modest gains in August and September.
The unemployment rate now stands at its lowest level since April 2008 and is in a range many Fed officials see as consistent with full employment.