The official U.S. jobs report for June delivered a surprisingly sharp turnaround from the gloom triggered by ADP private payroll data just 24 hours earlier.
Nonfarm payrolls increased by 147,000 in June, the strongest reading so far in 2025, up from an upwardly revised 144,000 in May and well above economists’ expectations of 110,000.
The unemployment rate dipped to 4.1% from 4.2%, also beating forecasts for a rise to 4.3%. It marks the lowest unemployment rate since January 2025.
Government Hiring Leads The Way, Private Sector Growth Slows
The largest surprise came from government hiring, which contributed 73,000 new jobs—the highest since March 2024. State governments added 47,000 positions, mostly in education, while local government education continued to rise with …