TechFlow reports, July 02, the U.S. economy added 57,000 non-farm payroll jobs in June, below Wall Street expectations. Following three consecutive months of job growth exceeding expectations, June's job growth slowed, prompting the market to lower expectations for Federal Reserve rate hikes. Data released by the U.S. Bureau of Labor Statistics on Thursday shows that June's new jobs fell sharply compared to May's downwardly revised 129,000, and was also lower than the 115,000 predicted by economists surveyed by Bloomberg.
This report marks a significant cooling in the labor market after three consecutive months of job growth better than expected. Although job growth has declined, it is still far higher than the 2025 target of an average annual addition of 10,000 jobs. The unemployment rate dropped slightly from 4.3% in May to 4.2%. As investors lowered expectations for Federal Reserve rate hikes, the U.S. dollar softened. Futures traders currently expect the Federal Reserve will raise rates in December. Previously, the market expected the Federal Reserve to raise rates in October. (Jin10)
