Our hiring slowed in June, but we still added a respectable 209,000 jobs, a sign of the economy’s resilience
In spite of a reduction in hiring, American businesses nevertheless managed to create 209,000 new positions in June, demonstrating how the economy’s resiliency is thwarting the Federal Reserve’s efforts to curb inflation and growth.
After ending a series of 10 rate increases meant to curb inflation, the Fed is almost certain to begin raising interest rates later this month, given the most recent indications of economic strength.
The government released the lowest hiring total in two and a half years on Friday for the month of June.
However, it still indicates a strong job market, as evidenced by the record-high number of positions that have been listed.
From 3.7% to 3.6%, the unemployment rate decreased, approaching a five-decade low.
The majority of the report’s specifics emphasized how resilient the labor economy is.
The typical work week lengthened somewhat, indicating that employee demand is high enough to keep everyone busy.
Additionally, the rate of salary growth quickened: hourly pay is up 4.4% from a year earlier.
Nowadays, wage growth exceeds annual inflation, which in May totaled 4%. The Fed will probably be concerned about the wage statistics because it fears that quicker pay increases will keep prices from falling because they will force businesses to hike prices to cover their increased labor costs.
Before stopping its rate rises, the Fed wants to see a slowdown in hiring and wage growth.
The majority of the report’s specifics emphasized how resilient the labor economy is. The typical work week lengthened somewhat, indicating that employee demand is high enough to keep everyone busy.
Additionally, the rate of salary growth quickened: hourly pay is up 4.4% from a year earlier.
Nowadays, wage growth exceeds annual inflation, which in May totaled 4%.
The Fed will probably be concerned about the wage statistics because it fears that quicker pay increases will keep prices from falling because they will force businesses to hike prices to cover their increased labor costs. Before stopping its rate rises, the Fed wants to see a slowdown in hiring and wage growth.
The majority of the report’s specifics emphasized how resilient the labor economy is. The typical work week lengthened somewhat, indicating that employee demand is high enough to keep everyone busy. Additionally, the rate of salary growth quickened: hourly pay is up 4.4% from a year earlier.
Nowadays, wage growth exceeds annual inflation, which in May totaled 4%. The Fed will probably be concerned about the wage statistics because it fears that quicker pay increases will keep prices from falling because they will force businesses to hike prices to cover their increased labor costs.
Before stopping its rate rises, the Fed wants to see a slowdown in hiring and wage growth.
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