Breaking News: US Job Growth Cools but Beats Estimates, Dow Jones Spikes

In May 2025, the U.S. added 139,000 jobs, slightly less than April's revised 147,000 but above the expected 130,000. Job growth was strong in health care (62,000 new jobs), especially in hospitals (30,000) and outpatient services (29,000). Leisure and hospitality added 48,000 jobs, mostly in restaurants and bars (30,000), while social assistance grew by 16,000 jobs.

However, the federal government lost 22,000 jobs in May and has cut 59,000 jobs since January. Manufacturing also saw a small decline, losing 8,000 jobs. Additionally, job numbers for March and April were revised down, showing 95,000 fewer jobs than previously reported.

Overall, the labor market is slowing but still strong. However, recent policy changes from the Trump administration could lead to fewer jobs in the coming months.

After the data rate futures traders see 2 Fed rate cuts this year, in September and December.

The initial market reaction was mixed but the Dow Jones did rally near 200 points as market participants digested the data.

Updates to follow