US economy posts strong job gains in March despite Iran war concerns

Non-farm payrolls rose by 178,000 in March and the unemployment rate fell to 4.3 percent; gains were concentrated in health care, leisure and hospitality, construction and transportation.

The US economy posted stronger-than-expected job growth in March. Non-farm payrolls increased by 178,000, rebounding from a 133,000 decline in February. The unemployment rate moved down to 4.3 percent. The report appears amid higher energy prices after conflict tied to Iran and proposals from the White House to raise military spending. Key details: - Non-farm payrolls rose by 178,000 in March after a 133,000 drop in February. - The unemployment rate fell from 4.4 percent to 4.3 percent. - Health care showed a 90,000 rebound that was reported as driven by the end of strike action. - Leisure and hospitality added about 44,000 jobs and construction rose by 26,000. - Federal government employment declined by 8,000, extending a multi-month drop; the president proposed raising defence spending to $1.5 trillion in the 2027 budget while reducing some non-defence programs by 10 percent. Summary: The March report shows a clear monthly rebound in payrolls, but analysts quoted in the coverage said the rise mainly reflects reversals of strike-related losses and weather effects and warned that revisions could reveal a weaker trend. Higher oil prices tied to the Iran conflict were noted as a risk to consumer spending and near-term hiring. Undetermined at this time.