The U.S. economy added 172,000 jobs in May and the unemployment rate held steady at 4.3 percent, the Labor Department said Friday. Economists had expected 85,000 jobs, with forecasts ranging from 55,000 to 110,000. The unemployment rate was forecast to be unchanged at 4.3 percent.
The April gain was revised up by 64,000 to 179,000 and March was revised up by 29,000 to 214,000, for a total of 93,000 additional jobs. Economists have been underestimating job growth for three consecutive months. The three-month average of job growth, a measure that smooths out monthly volatility and is considered by many to be a better guide to the health of the labor market, moved up to over 188,000. The private sector added 120,000 jobs, far more than the 90,000 consensus forecast. The April estimate was revised up from 123,000 to 177,000.
