In another data point that will make the Federal Reserve's job more difficult on rate cuts, the US labor market saw unexpected growth in May, defying earlier signs of an economic slowdown.
According to the Bureau of Labor Statistics data released on Friday, the labor market added 272,000 nonfarm payroll jobs in May, surpassing economists' expectations of 185,000. This is a significant increase from the 165,000 jobs added in April.
However, the unemployment rate rose to 4% from 3.9% in the previous month. Wage growth, a key indicator of inflation, increased by 4.1% year over year, reversing a previous downward trend. On a monthly basis, wages grew by 0.4%, up from a 0.2% gain in the prior month.
The labor force par ...
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