June Boom: U.S. Job Growth Soars for Month of June
June job growth in the U.S. exceeded expectations, with nonfarm payroll employment increasing 224,000.
Breitbart reports that economists surveyed by Econoday had expected a gain of 165,000 in June and for unemployment to remain steady at 3.6 percent.
The June jobs number will be used as a barometer for the Federal Reserve’s monetary policy:
Last month, the Fed signaled that it was ready to cut rates if the economy continued to show signs of slowing and inflation remained low. The stronger than expected number may create some hesitancy to cut rates.
Fox Business reports that the sectors benefitting from job growth in June include: professional and business services, health care, transportation, construction and manufacturing.
Professional and business services: The industry added 51,000 jobs in June, following measly growth in May of 24,000. In the first half of 2019, growth has averaged about 35,000 per month, compared with an average monthly gain of 47,000 last year.
Health care: With 35,000 jobs added, health care saw the second-largest addition in jobs last month. Over the course of the past year, health care added, in total, 403,000 jobs. Most of the job growth in June, however, took place in two areas: ambulatory health care services (19,000) and hospitals (11,000).
Transportation and warehousing: This sector added 24,000 jobs in June, and 158,000 over the past 12 months. In June, job growth took place among couriers and messengers, with 7,000 added, and air transportation, with 3,000 added.
Construction: The industry continued its upward trend over the past year, with 21,000 new jobs created in June, in line with its average gain during the past year.
Manufacturing: Manufacturing ticked up slightly in June, with 17,000 jobs created, after four months of essentially no change. So far this year, job growth in manufacturing has averaged 8,000 per month, compared with an average of 22,000 per month last year. In June, employment increased in computer and electronic products — which added 7,000 jobs — and in plastics and rubber products, which created upward of 4,000.
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