US payrolls undershoot forecasts by wide margin on revisions

(Sharecast News) - Hiring and wage growth in the US eased as expected last month, but after a much faster-than-expected slowdown over the previous two months. According to the Department of Labor, non-farm payrolls grew by 206,000 by in June.

Consensus had been for an increase of 190,000.

Average hourly earnings meanwhile were up by 0.3% month-on-month (consensus: 0.3%).

Significantly, readings on non-farm payrolls for the prior two months were revised down by a combined 111,000.

The three-month moving average for total payrolls growth declined from 212,000 to 177,000 and from 178,000 to 146,000 within the private sector.

In parallel, the unemployment rate ticked higher by a tenth of a percentage point to 4.1% (consensus: 4.0%).

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