Growth of employment in the United States last month was lower than expected, but the jobless rate slumped to the least reading in around 17 and a half years – 3.9%, as some unemployed are no more in the labor force.
Today’s employment report by the Labor Department that is paid great attention to by many made clear that wages hardly increased in April as well, which could allay worries that inflation pressures are mounting fast, and hold the Fed on a route of step-by-step monetary policy tightening.
Nonfarm payrolls registered a rise by 164,000 jobs in the previous month, according to today’s data by the Labor Department. March figures for payrolls were revised upward and their current level is 135,000 jobs gained, while the old data said 103,000. However, this was the least number of created jobs in half a year, coming after an extraordinary rise in February by 324,000.
Last month 236,000 Americans left the labor force. The percentage of people involved in the labor force, that is to say they are employed or in search of a job, dropped from 62.9% of March to 62.8% in April. In a poll of experts by Reuters payrolls were projected to expand by 192,000 jobs last month, while the unemployment rate to dip to 4.0%.