Current:Home > NewsHiring cools as employers added 209,000 jobs in June-Angel Dreamer Wealth Society D1 Reviews & Insights
Hiring cools as employers added 209,000 jobs in June
View Date:2024-12-23 15:51:59
Hiring cooled in June as employers put the brakes on hiring amid economic headwinds such as surging borrowing costs.
The U.S. added 209,000 jobs last month, the Labor Department reported Friday. That was in line with economists' expectations for about 205,000 new jobs in June, according to a poll of economists by FactSet.
By comparison, employers added 339,000 new jobs in May, although the Labor Department on Friday revised that number downward to 306,000.
The Federal Reserve has sharply boosted interest rates over the past year, making it more expensive for businesses to expand. The central bank wants to tamp economic growth to slow inflation, which hit a 40-year high last year. The latest jobs data signals that businesses are continuing to hire, albeit at a cooler pace, easing fears of a brewing recession while also providing evidence to the central bank that its rate hikes are working as intended.
"The U.S. labor market moderated in June, as new job creation edged down — a step toward the much sought-after soft landing in the economy," noted Dave Gilbertson, labor economist at payroll management software company UKG, in an email after the numbers were released. "[T]he labor market is holding up very well, but it's not on fire."
The unemployment rate edged down to 3.6% from 3.7% in the prior month.
June's hiring pace was below the average rate of the first six months of 2023, with 278,000 jobs created on a monthly average during that time. It also marks a slowdown from the average monthly job creation rate of 399,000 in 2022, the U.S. Bureau of Labor Statistics said.
Jobs were added in government, health care, social assistance and the construction industries, while some sectors saw little change in hiring, including professional and business services and leisure and hospitality.
Still, the weaker jobs report may not be enough to stop the Fed from hiking rates later in July, especially as wage growth remains strong, according to Capital Economics.
"With the annual rate of wage growth unchanged at 4.4%, that is still too strong to be consistent with 2% inflation and suggests a further easing in labour market conditions is still needed," wrote Capital Economics' deputy chief U.S. economist Andrew Hunter in a Friday morning research note.
- In:
- Economy
veryGood! (97772)
Related
- Horoscopes Today, November 10, 2024
- These tiny worms live in eyes, feed on tears and could transmit to humans
- College Football Playoff ranking release schedule: Dates, times for 2024 season
- Horoscopes Today, August 15, 2024
- Video ‘bares’ all: Insurers say bear that damaged luxury cars was actually a person in a costume
- Mom, stepdad of 12-year-old Texas girl who died charged with failure to seek medical care
- Horoscopes Today, August 15, 2024
- The Daily Money: Inflation eased in July
- Cavaliers' Darius Garland rediscovers joy for basketball under new coach
- Matthew Perry’s death leads to sweeping indictment of 5, including doctors and reputed dealers
Ranking
- AIT Community Introduce
- Prominent 2020 election denier seeks GOP nod for Michigan Supreme Court race
- The Daily Money: Inflation eased in July
- Fake Heiress Anna Delvey Shares Devious Message as She Plots Social Media Return
- Lala Kent Swears by This Virgo-Approved Accessory and Shares Why Stassi Schroeder Inspires Her Fall Style
- Silk non-dairy milk recalled in Canada amid listeria outbreak: Deaths increased to three
- Fentanyl, meth trafficker gets 376-year prison sentence for Colorado drug crimes
- College Football Playoff ranking release schedule: Dates, times for 2024 season
Recommendation
-
Will Reeve, son of Christopher Reeve, gets engaged to girlfriend Amanda Dubin
-
Rookie Weston Wilson hits for cycle as Phillies smash Nationals
-
Jury begins deliberations in trial of white Florida woman in fatal shooting of Black neighbor
-
Off the Grid: Sally breaks down USA TODAY's daily crossword, But Daddy I Love Crosswords
-
2 more escaped monkeys recaptured and enjoying peanut butter and jelly sandwiches in South Carolina
-
Auburn coach Hugh Freeze should stop worrying about Nick Saban and focus on catching Kirby Smart
-
Kim Dotcom loses 12-year fight to halt deportation from New Zealand to face US copyright case
-
Amid Matthew Perry arrests, should doctors be blamed for overdose deaths?