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The economy grew by 214,000 jobs during October as the U.S. Department of Labor reported the unemployment rate dropped to 5.8%

CNBC reported although October’s non-farm payroll data fell short of Wall Street’s estimates, which had expected jobs growth at 231,000, the prior two months were revised upward by a net 31,000 jobs. The report coincided with the Federal Reserve’s decision to end its massive bond-buying to stimulate the economy, with the Fed expressing broad confidence in the economy’s health.

Continuing in its reporting the closely watched unemployment rate dipped to 5.8 percent in the month, its lowest since 2008. However, the labor force participation rate—considered by some economists to be a more reliable barometer of labor conditions—rose only modestly to 62.8 from 62.7 percent. That indicator remains mostly flat since April, the Labor Department said, and remains mired at its lowest level in nearly four decades.

In its report the Labor Department reported among the among the major worker groups, the unemployment rate for whites declined to 4.8 percent in October. The rates for adult men (5.1 percent), adult women (5.4 percent), teenagers (18.6 percent), blacks (10.9 percent), and Hispanics (6.8 percent) changed little over the month. The jobless rate for Asians was 5.0 percent (not seasonally adjusted), little changed from a year earlier.

One of the more troubling signs in the report is the average hourly earnings for all employees on private nonfarm payrolls rose by 3 cents to $24.57 in October. Over the year, average hourly earnings have risen by 2.0 percent. In October, average hourly earnings of private-sector production and non-supervisory employees increased by 4 cents to $20.70.

One of the key aspects of Tuesday’s election, had the Republican Party regain control of the U.S. Senate, as the American public are still extremely dissatisfied with the direction of the U.S. economy and showed its displeasure at the ballot box.

The economy is slowly improving, if only at a tepid pace there are still headwinds ahead.  In the coming weeks, the enrollment period begins for the much maligned Affordable Care Act, or as its better known “Obama Care”.

Many experts are expecting premiums and deductibles to rise considerably and continue into next year with the implementation of the employer mandate.

We will have to see what the next few months bring as employment will improve for the holiday season; we will get a better gauge come February as the true strength of the economy.

The other outstanding question is when the Federal Reserve will curtail its bond buyback program where it artificially keeps interest rates low in order to stimulate the economy.

We will have to wait and see what the future holds.