US jobs growth signals tough inflation fight ahead

Hiring in the US remained robust last month, while wages climbed sharply – signs that the world’s largest economy still faces a tough fight as it wrestles to rein in rising prices.

Employers added 263,000 jobs in November, while average hourly pay rose 5.1% from last year, the Labor Department said.

That was stronger than expected.

The head of the central bank said this week that the labour market needed to weaken more for prices to stabilise.

The unemployment rate held steady in November at 3.7%, as bars, restaurants and firms in healthcare added workers.