The unemployment rate in the United States remained at 4.2 percent in April, according to the US Department of Labor. The number of unemployed people increased slightly to 7.2 million.
US businesses created around 177,000 new jobs outside of agriculture, according to the Department of Labor. The healthcare sector, social support, transportation and warehousing sectors, as well as the financial industry, all experienced growth. In contrast, employment in the state sector continued to decline. The number of long-term unemployed people remained at 1.7 million.
The US labor market data is closely monitored by investors around the world. If the labor market is strong and inflation is high, interest rate cuts become less likely. However, investors would welcome such a development, partly because savings accounts would become less attractive compared to stocks and companies and other actors could obtain loans more easily.