- The latest labor reports are a mixed bag as inflation, high interest rates, and increased cost of goods directly impacting consumers continue to trouble the U.S. economy.
Unemployment rose in the U.S. in May despite the labor market adding more jobs than analysts had predicted.
According to the latest report from the U.S. Bureau of Labor Statistics, nonfarm payroll employment increased by 272, 000 in May, outpacing forecasts by roughly 90,000.
Yet, the unemployment rate rose to 4.0%, the first time it has reached that threshold in over two years.
The number of unemployed persons rose to 6.6 million, up 500,000 compared to the same month last year when the unemployment rate was 3.7%.
The labor force participation rate in the U.S. currently sits at 62.5%. However, the rate does not account for another 5.7 million people who currently want a job but who were not actively looking for work during the 4 weeks preceding the latest survey or who were unavailable to take a job.
Friday’s labor news follows BLS’ job openings report that came out earlier this week that showed job openings in the U.S. fell to 8.1 million in April, the lowest it’s been since early 2021.
The reports are a mixed bag as inflation, high interest rates, and increased cost of goods directly impacting consumers continue to trouble the U.S. economy.
Frank Corder
