Optimism tested as hirings rise less than expected

Washington

EMPLOYERS in the US hired far fewer workers than expected in January and job gains for the prior month were barely revised up, suggesting a loss of momentum in the economy, even as the unemployment rate hit a new five-year low of 6.6 per cent.

Non-farm payrolls rose only 113,000, the Labor Department said yesterday. But with construction recording the largest increase in jobs in a year, cold weather probably was not a major factor in January.

"It is an improvement but a number this soft does feed worries about slowing US growth," said Joe Manimbo, senior market…