The nation created a seasonally adjusted 151,000 jobs in February, better than the downward revised 125,000 jobs created in January, the U.S. Bureau of Labor Statistics reported Friday.

The February jobs numbers were below the forecast from Dow Jones for 170,000 jobs to be created, and the unemployment rate inched up to 4.1% from 4% in January.

The jobs picture has been muddled in the past few months, considering what many analysts believe is a general economic slowdown and the federal job-cutting movement led by billionaire Elon Musk and his Department of Government Efficiency (DOGE).

News services report that the impact of the DOGE cuts to the federal workforce probably won’t be fully felt until some months in the future, but the February report shows federal government employment declining by 10,000. But the overall government employment increased by 11,000.

Employment was trending up in health care, which added 52,000 jobs month over month, in line with average monthly gains of 54,000 over the prior 12 months. The financial sector gained 21,000 jobs for the month. The real estate and rental and leasing sector gained 10,000 jobs.

First American Senior Economist Sam Williamson said that while the February jobs report was below consensus estimates and weaker than February 2024, it showed a modest uptick from January. In general, the report reflects a stable labor market, but he doesn’t expect the Federal Reserve to cut interest rates during their March meeting.

“However, there is a silver lining for housing and home buyers,” Williamson said. “In February, the 10-year yield fell by over 40 basis points, likely due to weakening business and consumer confidence amid recent political turbulence in Washington. Further economic weakness could trigger a renewed flight to safety, driving the yield on 10-year Treasury notes even lower, which would pull mortgage rates down further ahead of the spring home-buying season, potentially enhancing housing affordability.”