Hiring has dropped slightly even as consumers and companies resist tariffs and a potential slowdown in the economy, the Bureau of Labor Statistics reported Friday.
Non-agricultural payrolls grew 139,000 per year, surpassing Dow Jones' estimate of 125,000 and down from the 147,000 decline in the U.S. economy in April.
The unemployment rate is stable at 4.2%. More inclusive measures including discouraged workers and under-employed also remain unchanged, holding 7.8%.
Worker wages grew more than expected, with average hourly income rising by 0.4% for the month, compared to 3.9% for a year ago, compared to 0.3% and 3.7% for forecasts.
"In the face of recent shocks, job growth and stable unemployment rates have emphasized the resilience of the U.S. labor market," said Lindsay Rosner, head of fixed income investment at Goldman Sachs Asset Management.
Nearly half of the job growth came from health care, which increased by 62,000, or even higher than its average growth of 44,000 in the past year. Leisure and hospitality contributed 48,000, while social assistance increased by 16,000.
On the downside, the administration lost 22,000 jobs as efforts by President Donald Trump and Elon Musk-led governments began to have an impact.
The stock market futures rose after issuance, and the Ministry of Finance's yield rate is the same.
While May's figures are better than expected, there are still some potential points of failure.
April counts fell by 30,000, while March totals fell by 65,000 to 120,000.
There are also differences between established surveys, which are used to generate title salary gains, while household surveys are used to unemployment rates. The latter count is often more turbulent than establishing a survey, showing a decrease of 696,000 workers. Full-time workers fell by 623,000, while part-time workers rose by 33,000.
"The May work report still leaves everyone waiting for another shoe to fall," said Daniel Zhao, chief economist at the Job rating site Glassdoor. “This report shows that the job market is tall, but it’s only a matter of time before the job market starts to get tighter as economic headwinds accumulate.”
The report is targeting a shaky economic backdrop, which is Trump’s tariffs and the ever-changing variable of how far he will work to improve the global competitive environment for U.S. goods.
Most indicators show that the economy is still far from the recession. However, sentiment surveys show that consumers and business leaders have high levels of anxiety because they will have the ultimate impact of reducing business activity and increasing inflation.
Federal Reserve officials are carefully looking at the current landscape.
The central bank held its next policy meeting in less than two weeks, with the market mainly hoping the Fed will remain on the shelves on interest rates. In recent speeches, policymakers have shown that there is greater concern about the potential for inflation caused by tariffs.
"As the Fed laser focuses on managing the risks of inflation that it authorized, today is stronger than expected employment reports and will not help changing the approach to its patients," said Goldman Sachs strategist Rosner.
Friday also marked the last day before Fed officials entered a quiet period before the meeting, when they made no policy comments.