Slowdown in US Job Market Leads to Unemployment Rate Tying Longest Streak Since 1960s

The US economy added only 175,000 nonfarm payroll jobs in April, falling short of expectations, according to the Bureau of Labor Statistics. This news comes as the Federal Reserve aims to curb inflation.

Despite the lower-than-expected job growth, the unemployment rate remained steady at 3.9 percent, marking a historic streak of unemployment below 4 percent not seen since the 1960s.

President Joe Biden praised the job numbers as a sign of economic recovery from the Covid-19 pandemic, highlighting the increase in women in the workforce. Hourly earnings also saw growth in April, with wages outpacing inflation.

Health care and social assistance sectors led job growth in April, adding 56,000 and 31,000 jobs respectively. Biden emphasized the need for further economic initiatives, such as lowering housing costs and cutting taxes for middle-class families.

The Federal Reserve has maintained high interest rates to combat inflation, with Chairman Jerome Powell stating the need to see sustained progress towards the 2 percent inflation target before considering rate cuts.

As the economy continues to recover, Biden aims to make job and wage growth a focal point of his re-election campaign. The BLS will release inflation data later this month, providing further insight into the state of the US economy.