US employers hired at a robust clip in May while wage gains held firm, suggesting the economy continues to power forward as the Federal Reserve raises interest rates at a steep pace to tame red-hot inflation.
Nonfarm payrolls increased 390,000 last month after a revised 436,000 gain in April, a Labor Department report showed Friday. The unemployment rate held at 3.6%, and the labor force participation rate crept higher.
The median estimate in a Bloomberg survey of economists called for a 318,000 advance in payrolls and for the unemployment rate to fall to 3.5%.
The report suggests that employers had success filling open positions in the month. It also potentially provides some broader reassurance that the economy can achieve a soft landing as wage gains moderate from their more rapid pace of most of 2021.
Average hourly earnings rose a less-than-forecast 0.3% from April, the same as the previous month. They were up 5.2% from a year earlier, a slowdown from 5.5% in April.
May Jobs Report: 390,000 Added to Payrolls, Unemployment Stays at 3.6% – Bloomberg
Leave a Reply