The U.S. economy added 372,000 jobs in June and extended a streak of gains showing that one of the pillars of the U.S. economy is solid.
Despite signs of a slowing economy, new jobs accelerated at a much faster pace than expected in June, according to the Bureau of Labor Statistics.
The 372,000 nonfarm payrolls increase in the month was better than the 250,000 Dow Jones estimate and a confirmation that this year has been strong for job growth.
The unemployment rate was 3.6%, unchanged from May and in line with estimates. People without jobs match a near-50-year low that was reached before the pandemic struck in early 2020.
“The strong 372,000 gain in non-farm payrolls in June appears to make a mockery of claims the economy is heading into, let alone already in, a recession,” said Andrew Hunter, senior U.S. economist at Capital Economics, quoted by CNBC.
The Federal Reserve is closely watching the labor market since the rapid pace of hiring is feeding inflation. Many employers are still struggling to fill jobs, especially in the service sector
By sector, education and health services led job creation, with 96,000 hires, followed by professional and business services adding 74,000 new positions.