Nonfarm payrolls fall short of expectations in March

The US economy added 431,000 payrolls in March, according to the Bureau of Labor Statistics, down from the previous month's print of 750,000 and falling short of market expectations for a print of 490,000.

Job gains continued in leisure and hospitality, up 112,000, professional and business services, 102,000 higher, retail trade, 49,000 stronger, and food and beverage stores and manufacturing, up 18,000 and 38,000, respectively.

Figures for February were revised sharply higher to show a 750,000 gain, up from 678,000, while the change in total nonfarm payroll employment for January was also revised up by 23,000 to 504,000.

Overall, job growth averaged 562,000 per month in the first quarter of 2022, the same as the average monthly gain for 2021, as a sharp decline in Covid-19 infections and the lift of restrictions, coupled with strong consumer demand, kept labour demand high. However, employment was still down 1.6m, or 1%, from its pre-pandemic levels in February 2020