The Massachusetts job market showed signs of slowing in October.
Local employers added an estimated 9,800 jobs last month, the Executive Office of Labor and Workforce Development reported on Friday. That was a 57 percent drop from the revised 22,900 jobs added in September.
The state’s unemployment rate rose to 3.5 percent, one-tenth of a percentage point higher than the previous month, but two-tenths of a percentage point lower than the national rate, according to the Bureau of Labor Statistics.
The financial sector showed the biggest gains last month, adding 4,500 jobs. The professional, scientific, and business services sector accounted for 4,100 new jobs, and the government tacked on 2,300. The sector that shrunk the most was manufacturing, which lost 600 jobs since September, followed by leisure and hospitality (400 jobs), education and health services (300 jobs), and construction (200 jobs).
The state’s labor force for October was an estimated 3,745,800, down 3,800 from September. The labor force participation rate — meaning the number of residents age 16 or older who were either employed or unemployed and looking for a job in the last four weeks — fell by one-tenth of a percentage point since September and now sits at 65.5 percent.
This data comes as the Federal Reserve is considering another major rate hike to tame the worst inflation in decades. The central bank has raised interest rates by three-quarters of a percentage point four times this year, in an effort to slow spending and dampen the economy while avoiding a recession.
The state’s job figures are often revised as more precise data become available.
Dana Gerber can be reached at email@example.com. Follow her on Twitter @danagerber6.