US posts another month of strong job gains in May; unemployment rate steady at 4.3%

U.S. employment posted another month of strong gains in May, indicating the labor market is regaining traction after last year’s slowdown. The report may give the Federal Reserve more room to keep rates unchanged even as inflation rises due to the war with Iran. The combination supports a stable labor backdrop but keeps monetary policy and inflation risks in focus.

Analysis

U.S. employment posted another month of strong gains in May, indicating the labor market is regaining traction after last year’s slowdown. The report may give the Federal Reserve more room to keep rates unchanged even as inflation rises due to the war with Iran. The combination supports a stable labor backdrop but keeps monetary policy and inflation risks in focus.