China View: "Rosy picture hides the truth on US Economy" - U.S. creates 110,000 jobs, unemployment rate still rises - by Mu Xuequan

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The U.S. economy in September showed growing momentum for creating new jobs, even as the unemployment rate continued to edge up, relieving market concerns that the U.S. economy may slip into a recession due to a meltdown in the subprime mortgage market. Figures released by the U.S. Labor Department on Friday showed that 110,000 new jobs were created in September, registering the biggest increase in payrolls in one month since last May. The jobless rate, however, edged up to 4.7 percent from 4.6 percent in August as hundreds of thousands of people lost their jobs and returned to the labor market. The impact of the sub-prime crisis, which became apparent in early August, is showing up in related sectors of the economy.

Construction firms and financial services companies slashed a total of 28,000 jobs in September. Factories eliminated 18,000 jobs while retailers laid off over 5,000 employees.