US adds more jobs than expected

The jobs market is showing strength

The US economy beat forecasts by adding 132,000 jobs last month, but the unemployment rate rose to 4.5%, according to Labor Department figures.

November's extra 132,000 jobs was a marked improvement from the 79,000 new positions in October, and higher than market predictions of 110,000.

Although the unemployment rate edged up, it was still just above October's 4.4% five-year low.

Analysts said the data showed that the US economic slowdown remained mild.

'Strengthening economy'

"These numbers are very benign, and are definitely consistent with a soft-landing scenario," said economist Ned Riley, of Riley Asset Management.

Analysts said a main factor in the unemployment rate going up was thousands of jobseekers re-entering the labour market looking for work ahead of the key holiday season.

Overall the figures show that the US jobs market remains in good shape despite a definite slump in the housing sector and weak American car sales.

"The report is considerably stronger than expected," said Richard Yamarone, chief economist at Argus Research.

"There are several signs of strengthening economic activity."