US employment growth misses expectations; unemployment rate falls to 3.9%

U.S. employers added fewer jobs in December than forecast, while the jobless rate fell below 4% and wages jumped, adding to evidence of a tight labor market that’s expected to help spur Federal Reserve interest rate liftoff as soon as March.

The 199,000 increase in nonfarm payrolls last month followed upward revisions in the prior two months, a Labor Department report showed Friday. The unemployment rate fell to 3.9% while the labor force participation rate was unchanged.

The latest employment numbers suggest that despite still-robust labor demand, the factors that have kept a lid on hiring throughout the fall --