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May NFP was 217K; Unemployment Rate Stays at 6.3%

participation rateMay NFP: 217K
Forecast: 214K
Previous: 282K (revised down from 288K)


The Bureau of Labor Statistics saw 217K jobs added in May. According to the report, "employment increased in professional and business services, health care and social assistance, food services and drinking places, and transportation and warehousing. 

The jobless rate held at 6.3%. Economists had forecast a slight bump up to 6.4%. 

The labor force participation rate was unchanged at 62.8%, which matches a 35-year low. This to me is becoming more important a number to monitor than the unemployment rate. Unless 

(Source: Bureau of Labor Statistics)

Unless the participation rate starts an uptrend, a lower unemployment rate won't matter. 

Overall, today's NFP data was positive. Even though job growth was lower than in April, it was above 200K, and is at a pace that will allow the Fed to raise rates in 2015.