Overview

• Nonfarm payrolls climbed by 147,000 in June, surpassing forecasts and lowering the unemployment rate to 4.1%.
• State and local education hiring added 63,000 positions, and healthcare and social assistance roles contributed about 59,000 more jobs.
• Private employers added just 74,000 jobs—the smallest monthly gain since October 2024—as professional and business services shed roles.
• Manufacturing employment fell by 7,000 for the second consecutive month, and foreign-born employment dropped by 348,000 while native-born jobs rose by 830,000.
• Average hourly earnings rose 0.2% in June, bringing year-over-year wage growth to 3.7%, a factor that adds complexity to potential Fed rate cuts.