In a Sign of Resilience, US Employers Add 372,000 Jobs

Employers in the United States defied high inflation and slowing growth to add 372,000 jobs in June, a surprisingly strong gain that will likely prompt the Federal Reserve to continue sharply raising interest rates in an attempt to cool the economy and slow price increases.

The unemployment rate remained at 3.6 percent for the fourth consecutive month, according to the government, matching a near-50-year low reached before the pandemic struck in early 2020.

The robust pace of hiring indicates that businesses continue to want to hire to meet high customer demand - a trend that should alleviate concerns that the US economy is on the verge of a downturn. The job market's tenacity suggests that the economy is still on solid ground, at least for the time being.

"For all the doom and gloom that's in the markets right now, companies themselves still seem pretty upbeat on their own progress," said James Knightley, chief economist at ING, a bank. "It sort of dampens the near-term fear that we're heading into an impending recession."

In June, numerous sectors of the economy experienced significant job growth. 78,000 jobs were added in health care, 36,000 in transportation and warehousing, and 74,000 in professional services, which includes accounting, engineering, and legal services. In addition, the restaurant, hotel, and entertainment industries added 67,000 jobs.