US Job Growth Report for May

SOURCE finance.yahoo.com
US job growth surged in May, wages accelerated, and the Federal Reserve may delay interest-rate cuts. The labor market is strong, but inflationary pressures remain. The S&P 500 opened lower, Treasuries sold off, and the dollar strengthened in reaction.

Key Points

  • Nonfarm payrolls advanced 272,000 in May
  • Average hourly earnings climbed 0.4% from April
  • Unemployment rate increased to 4%

Pros

  • Surge in job growth in May
  • Acceleration in wages
  • Strong labor market defying expectations

Cons

  • Unemployment rate increased to 4%
  • Inflationary pressures may persist