The Bush Economy
U.S. employment posted a solid rise last month on strong hiring in health care and government and previous months’ gains were revised sharply higher, suggesting labor market conditions remain very supportive of economic activity at midyear.
The figures suggest a continuation of the Federal Reserve’s lengthy interest-rate pause is likely for the next several months at least amid signs of well contained wage pressures. They could even put the prospect of rate increases on the table for next year if confirmed by future data.
Nonfarm payrolls increased 132,000 in June, after swelling 190,000 in May and 122,000 in April, the Labor Department said Friday. Previous reports showed job growth of just 157,000 in May and 80,000 in April. Monthly job growth has averaged a robust 145,000 so far this year. The unemployment rate was unchanged last month at 4.5%.