STORY: U.S. job growth blew past expectations last month.
The Labor Department on Friday reported non-farm payrolls in May rose by 272,000 jobs, far outpacing the average forecast of 185,000 jobs from economists polled by Reuters.
The robust employment report adds pressure on the Federal Reserve to hold off on interest rate cuts until at least September, at the earliest.
But despite the May jobs report, there are signs what had been a tight employment picture could be loosening.
The unemployment rate ticked up to 4.0% from 3.9% in April. It had held below 4% for 27 straight months.
Data earlier this week showed job openings declined in April and the number of available jobs per job-seeker reached its lowest level since June 2021.
The Fed is closely monitoring labor market conditions and economic growth to ensure it doesn't keep rates too high for too long, at the risk of triggering a recession.
