Everything You Need To Know Ahead Of Friday’s Job Report - Wednesday, May 31

(Photo Credit: ***Karen)

The unemployment rate will be published by the Bureau of Labor Statistics this Friday, June 2nd. Alongside with unemployment, Average Hourly Earnings and Change in Nonfarm Payrolls will also be reported.

Estimize consensus:

Unemployment rate: 4.5%

Change in Nonfarm Payrolls: 186K 

Average Hourly Earnings: 0.2%

Economists from FactSet are predicting May payrolls to increase around 175,000, which is a downturn from April’s 211,000 mark. They are also predicting the unemployment rate to remain at 4.4%, which some state is close to the natural rate of unemployment. The current level of 4.4% is the lowest since 2007.

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In addition, the change in Nonfarm Payrolls is expected to show a decrease to 186K from 211K last month. This following last year’s seasonal trend, leading to more jobs created as the summer months approach.  

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Average Hourly Earnings are predicted to have a small drop (0.1 percentage points) to 0.2% from 0.3%. Additionally, the Estimize community is also expecting a rise in the Federal Interest Rate for their third reading period. Such an increase could have direct effect on hourly earnings due to higher inflation. Hourly wages are expected to increase for the next month.

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