The U.S. economy added 209,000 jobs in July, according to government data released Friday morning, surpassing economists' expectations.
"It was pretty solid across the board", said Michael Feroli, chief USA economist at JP Morgan.
Canada's labor market is running hot.
President Donald Trump welcomed the report.
July's employment gains exceed the monthly average of 184,000 for this year. Stock futures pointed to a higher opening for the Dow Jones Industrial Average DJIA, +0.04% Yields on Treasurys also rose as did the value of the dollar DXY, +0.33%. There were also increases in manufacturing and construction employment.
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Retail remained weak last month, only adding 900 jobs in July.
The steady flow of new jobs, however, has added fresh fuel to a recovery that is one of the longest on record.
The largest job gains were seen in the food and drink services, professional and business services, and healthcare sectors.
The rosy jobs report, with a tightening jobs market and rising wages, could ease some of the confusion among Federal Reserve policymakers, who were expected to raise interest rates a third time this year but have been left perplexed by flagging inflation.
Yet even with unemployment so low and good help hard to find, firms still aren't boosting wages as fast as they usually do so late into an economic expansion. The unemployment rate dropped surprisingly to 6.3%, but this comes on top of a drop in the participation rate to 65.7%.