#NFPWatch

📊 June NFP Watch: U.S. Adds 147K Jobs, Unemployment Dips to 4.1%👇🏻

The U.S. economy beat expectations in June’s Non-Farm Payrolls (NFP) report, adding 147,000 jobs versus the 110K forecast. Unemployment improved slightly to 4.1% (from 4.2%), while average hourly earnings rose 3.7% YoY. Plus, revisions boosted May’s data by another +16K .

📌 But there’s more under the surface:

• Almost half of the gains were in the public sector (education), while private-sector hiring slowed—only 74K job gains, the weakest since Oct 2024 .

• The average workweek also fell slightly to 34.2 hours .

🧭 What it means:

• A solid headline number supports the strong labor market, reducing pressure on the Fed to cut rates soon.

• Still, signs of underlying weakness in private employment could warrant caution from policymakers.

• Markets responded with higher Treasury yields, a stronger dollar, and a muted stock reaction .

💡 Takeaway:

June’s NFP confirms a resilient economy, yet it reveals emerging stress in private hiring. This complicates the Fed’s decision-making—rate cuts look unlikely before late 2025, depending on inflation and jobs trends .