US non-farm payroll report showed 224k growth in the job market in June, notably above expectation of 164k. Prior month’s dismal figure was revised slightly down from 75k to 72k. Unemployment rate rose 0.1% to 3.7%, above expectation of 3.6%. Participation rate rose 0.1% to 62.9%. Average hourly earnings rose 0.2% mom, below expectation of 0.3% mom. But prior month’s wage growth was revised up from 0.2% mom to 0.3% mom.
Employment growth has averaged 172,000 per month thus far this year, compared with an average monthly gain of 223,000 in 2018. In June, notable job gains occurred in professional and business services, in health care, and in transportation and warehousing.
Dollar jumps sharply after the release. In particular, GBP/USD is heading to retest 1.2506 support.
