The US economy added 339,000 jobs in May, according to data released by the Bureau of Labor Statistics on Friday. This was well above the consensus forecast of 190,000 jobs and marked the 29th consecutive month of job growth.
The unemployment rate rose to 3.7% in May, from 3.6% in April. However, this was due to a decline in the number of people participating in the labor force, rather than an increase in the number of unemployed people.
Wages grew by 0.3% in May, which was in line with expectations. However, wages are still growing slower than inflation, which is currently running at an annual rate of 8.6%.
The strong jobs report is a sign that the US economy is still growing, despite concerns about a recession. However, the Federal Reserve is expected to continue raising interest rates in an effort to combat inflation, which could lead to slower economic growth in the months ahead.
Here are some of the key takeaways from the May jobs report:
- The US economy added 339,000 jobs in May, beating expectations.
- The unemployment rate rose to 3.7%, but this was due to a decline in the labor force participation rate.
- Wages grew by 0.3%, which was in line with expectations.
- The Federal Reserve is expected to continue raising interest rates, which could lead to slower economic growth in the months ahead.
The strong jobs report is likely to be a positive for the stock market in the short term. However, the Federal Reserve’s continued focus on fighting inflation could lead to slower economic growth in the months ahead, which could weigh on stock prices.
Overall, the May jobs report is a positive sign for the US economy. However, the Federal Reserve’s continued focus on fighting inflation could lead to slower economic growth in the months ahead.