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Unemployment rate dips as people stop looking for work


WASHINGTON (AP) — U.S. employers added just 88,000 jobs in March, the fewest since the middle of last year and a sharp retreat after a period of strong hiring. The slowdown is a reminder that the job market's path back to health will be uneven. The Labor Department says the unemployment rate dipped to 7.6 percent from 7.7 percent. While that is the lowest in four years, the rate fell only because more people stopped looking for work. The weakness may signal that companies were worried last month about steep government spending cuts that began on March 1.

March's job gains were half the pace of the previous six months, when the economy added an average of 196,000 jobs a month. The drop raises fears that the economy could slow after a stronger winter.

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