The U.S. economy saw an increase of 147,000 jobs in June, reflecting ongoing resilience in employment despite trade tensions under the current administration.
Job growth exceeded forecasts, as many analysts had predicted a decline. Instead, employment rose by 8,000 positions compared to May, according to data from the Bureau of Labor Statistics (BLS). The unemployment rate also edged down to 4.1%, from 4.2% the previous month.
Notable gains occurred in state government and healthcare, with 47,000 and 39,000 jobs added, respectively. In contrast, federal government employment continued to decline, shedding another 7,000 roles in May, following earlier reductions. Since January, federal job losses have totaled 69,000.
While trade policies have unsettled financial markets, which recovered after a 15% drop earlier this year, some analysts note that hiring trends may be slower to reflect the effects of these measures.
Recent reports indicated caution among employers. Private-sector employment fell by 33,000 in June, according to payroll firm ADP—marking the first decline since March 2023 and falling short of an anticipated 100,000 increase.
The reduction in job creation does not suggest widespread layoffs but rather fewer new positions being offered.
"Though dismissals remain uncommon, reluctance to hire and fill vacancies contributed to last month’s decline," said Nela Richardson, ADP’s chief economist.
BLS data on job openings showed a rise in May to the highest level since November, but most openings were in leisure and hospitality. Analysts at Citigroup suggested the surge may be short-lived, as companies adjusted hiring in response to stricter immigration policies that could affect work permits.
Officials have minimized the potential economic consequences of trade measures, despite concerns from businesses and consumers over rising costs.
Next week marks the end of a temporary hold on certain elevated tariffs as negotiations continue with multiple nations facing potential increases.
This week, an agreement was reached with Vietnam, avoiding a 46% tariff in favor of a lower rate. Similar arrangements have been made with other countries, but unresolved talks leave many exports at risk.
Amid economic fluctuations, criticism has been directed at the Federal Reserve and its leadership. Earlier this week, a public demand was made for reduced interest rates.
Read next
Ryanair plane had only six minutes of fuel upon Manchester landing, records show
Flight Narrowly Avoids Disaster After Storm Diversion
An inquiry has been launched after a Ryanair flight, struggling against severe winds during storm Amy last week, landed at Manchester Airport with only six minutes’ worth of fuel remaining.
The aircraft had been transporting passengers from Pisa, Italy, to Prestwick, Scotland, on
"Qantas customer data for 5 million exposed as hackers release info post-ransom deadline"
Hackers Leak Personal Data of 5 Million Qantas Customers on Dark Web
A cybercriminal group has released personal records of 5 million Qantas customers on the dark web after the airline did not meet their ransom demand.
The breach is part of a larger global incident affecting over 40 companies,
Investors flee record-high UK stocks as EU set to hike steel tariffs
Investors Withdraw Record Sums from Equity Funds Amid High Market Valuations
Data reveals that investors in the UK have withdrawn an unprecedented amount of money from equity funds over the past three months, driven by concerns over soaring stock market valuations.
According to the latest figures from Calastone, the largest