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Making Sense

Research Recap | May Jobs Report Exceeds Expectations

Jun 7, 2024
Phoebe White, Head of US Inflation Strategy, and Mike Feroli, Chief US Economist, analyze the May US employment report, future economic trends, and the impact of immigration policies on the economy. They discuss the increase in nonfarm payrolls, discrepancies in surveys, wage pressures, GDP growth expectations, potential interest rate cuts, and the Federal Reserve's future plans.
10:54

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Quick takeaways

  • May jobs report exceeded expectations with 272,000 job gains, indicating strong economic performance.
  • Differences in survey results suggest potential overstatement in job growth, impacting economic interpretations.

Deep dives

May US Employment Report Highlights

The May US employment report revealed a significant increase of 272,000 jobs, surpassing expectations by 100,000. The wage gains were also notable, contrasting the previous month's data. However, the unemployment rate rose to 4%, indicating a shift from the previous cycle low. Discrepancies between household and establishment surveys painted varied pictures of the labor market.

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