United States Department of Labor: Jobless Claims and Tariffs Impact on Job Growth

United States Department of Labor Reports Jobless Claims

Employers across the U.S. added 139,000 jobs in May, new federal data shows, a sign the labor market remains steady despite economic headwinds from tariffs. Stocks jumped in early trading, following the better-than-expected report. The S&P 500 was up 55 points, or 1.3%, while the Dow Jones Industrial Average climbed 581 points, or 1.4%. The Nasdaq Composite rose 1.4%.

Job Growth Trends in May

The numbers indicate payroll gains in May exceeded economists' forecast of 130,000. Job growth over the last 12 months has averaged 156,800 per month, according to financial data firm FactSet. The nation’s unemployment rate held steady at 4.2% for the third month in a row, matching forecasts by economists polled by FactSet. Job growth was slightly weaker in May compared to previous months, with employers adding 177,000 jobs in April, although the Labor Department revised those numbers down to 147,000.

Implications of Job Growth Data

While job growth was lower than in previous months, the data suggests that the job market is holding up under tariff pressure. Still, economists warn the economy could slow in the coming months. These job numbers reflect a labor market that is.