U.S. payrolls rose by 172,000 in May, much more than expected; unemployment at 4.3% The U.S. labor market experienced an unexpected surge in job growth in May, with 172,000 nonfarm payrolls added, significantly exceeding the 80,000 estimate. The unemployment rate remained stable at 4.3%, and revisions to previous months’ data further bolstered the positive outlook. This strong performance indicates a robust labor market, potentially deterring the Federal Reserve from imminent interest rate cuts.

• U.S. job growth unexpectedly surged in May, with 172,000 nonfarm payrolls added, far exceeding the 80,000 estimate.
• The unemployment rate held steady at 4.3%.
• Revisions for prior months showed stronger job gains than initially reported.
• Leisure and hospitality led job growth, adding 70,000 positions.
• Average hourly earnings rose 0.3% for the month and 3.4% over the year.
• The strong jobs report is likely to prevent the Federal Reserve from lowering interest rates in the near future.