Non-farm payrolls in the United States rose 213,000 in June, but the unemployment rate down south was 4%. With these revisions, employment gains in April and May combined were 37,000 more than previously reported.
With less than half of new job seekers finding work, the labour force increase boosted the unemployment rate to an eight-month high of 6 per cent. Employment jumped by 31,800 last month.
The US economy needs to create roughly 120,000 jobs per month to keep up with growth in the working-age population.
The employment increase last month beat economist expectations for a 20,000 gain and was the second highest so far in a year where job creation has been sluggish.
Under Trump, the economy also saw its highest number of job openings - 6.6 million, about the number of unemployed in April - since 2000. The median estimate of analysts surveyed by Bloomberg called for a gain of 195,000 jobs. A hot job market has helped pull them off the unemployment rolls and into work. The U.S. central bank increased interest rates last month for the second time this year and has projected two more rate hikes by year end. The average hourly earnings of private-sector production and nonsupervisory employees increased by four cents to $22.62.More news: What Joe Hart Was Doing While England Beat Sweden In Quarter Final
Despite a relatively tight labour market, wage growth remains stuck in the 2 per cent range, with the annual gain of 2.7 per cent unchanged from May.
This suggests that these 600,000 newly available workers can quickly find work if they have the right skills and that the unemployment rate will very swiftly fall back.
The June jobs is out and it's a beat.
The economy continues to show many signs of strength despite the brewing trade war.
The broader US economy appears sturdy.More news: Belgium coach Roberto Martinez ‘proudest man on earth’ after toppling Brazil
U.S. non-farm employment rose by 213K positions in June, but the unemployment rate climbed to 4.0%, up from 3.8% in May, according to the Bureau of Labor Statistics.
"This is a good job-creation number, but on the other hand we see still continued soft wage growth", said Michael Feroli, chief USA economist at JPMorgan Chase & Co.
The Labor Ministry data also support forecasts for accelerating economic growth in the USA in the second quarter, with the GDP expected to grow between April and June by more than 4% on annual basis, duplicating the weaker 2-fold expansion one hundred at the beginning of the year.
Some companies will likely respond to the tariffs by putting their hiring plans on hold until the trade picture becomes clearer.
The economy also faces a substantial threat from the Trump administration's trade war with China and from other, ongoing trade disputes with US allies, including Canada and Europe.More news: Dele, Maguire head England into first semi-final in 28 years
Today's data is another proof that 2018 will be the 8th consecutive year with an employment growth of at least 2 million.