The Bureau of Labor Statistics released May’s job numbers on Friday. 339,000 new jobs were added last month; the labor market appears to be holding steady despite Fed rate hikes.
The unemployment rate rose to 3.7% —but that’s still a historically low figure.
From The Washington Examiner:
Friday’s report is being closely scrutinized as it comes against the backdrop of several major economic developments, including the Fed’s rate hikes, banking sector turmoil, and a weakened housing market.
A stronger jobs report shows that rate hikes aren’t harming the labor market as much as expected and could cause the Fed to lean toward another rate hike later this month.
The reading follows several months of strong job gains, which is a bright spot in the economy that President Joe Biden has touted even as inflation keeps chewing into the paychecks of families across the country. Recent employment reports have proven surprisingly resilient, with the unemployment rate declining to multi-decade lows.
This latest report though shows that the labor market is continuing to show signs of resilience about halfway through 2023 and lessens some fears that a recession is right around the corner.
Economists expected between 180,000 – 190,000 new jobs.
More over at The Washington Examiner:
#BREAKING: Economy added 339,000 new jobs in May despite Fed rate hikes, unemployment at 3.7% https://t.co/ZZOzBWmmOf
— Washington Examiner (@dcexaminer) June 2, 2023