US non-farm payrolls rise more than forecast in March

The US non-farm payrolls increased 215,000 last month, beating estimates of 205,000 jobs. The gains were driven by jobs in retail, construction and government.

However, manufacturing, mining and oil services suffered job losses amid struggles in those industries due to falling commodities prices and a slowdown in China's economy.

The unemployment rate rose to 5% in March from 4.9% the prior month, surprising analysts who had anticipated no change.

Average hourly earnings rose 2.3% year-on-year in March, compared to analysts' projections for the same rate of growth as the previous month at 2.2%.

"Another good month of hiring in the US will encourage further chatter in some corners of the Fed moving closer to hiking interest rates again, but signs of weakening economic growth mean policymakers are likely to be cautious and hold off until the global economy is showing greater vigour and the US economy more sparkle," said Chris Williamson, chief economist at Markit.

"Although the unemployment rate rose to 5.0%, up from an eight-year low of 4.9%, this was in part due to more people entering the labour market. At 63%, the participation rate was the highest since March 2014."

The participation rate, or the share of working-age Americans who are employed or at least looking for a job, was up from 62.9% in February. Economists had expected the same rate in March.