May's U.S. jobs report beat Wall Street expectations. What investors are saying
Wall Street seems to like the latest jobs data. Stock futures climbed to their highs of the day after the Bureau of Labor Statistics said U.S. payrolls increased by 139,000 in May , above a Dow Jones consensus forecast of 125,000. Unemployment held steady at 4.2%. The report appeared to ease concern that the U.S. economy was slowing due to President Donald Trump's high tariff policy. That said, it could also delay the Federal Reserve lowering interest rates. Take a look at what some investors and economists on the Street had to say about the latest figures: Lindsay Rosner, head of multi-sector fixed income investing at Goldman Sachs Asset Management: "Stronger than expected jobs growth and stable unemployment underlines the resilience of the U.S. labor market in the face of recent shocks. With the Fed laser-focused on managing the risks to the inflation side of its mandate, today's stronger than expected jobs report will do little to alter its patient approach. We expect the Fed to remain on hold at this month's meeting and think a softening in the labor market data is likely required for the Fed to continue its easing cycle." Saira Malik, chief investment officer at Nuveen, on CNBC's " Squawk Box :" "This is a relief for investors. The S & P likely hits its next hurdle which is 6,000. We cross that and stay there." Eric Merlis, co-head of global markets at Citizens: "Today's jobs report will not be viewed as a call to action for the Fed to cut rates. The unemployment rate remained unchanged and, while other measures are pointing to a softer labor picture, the demand for workers remains stable as businesses adjust to policy shifts." Glen Smith, chief investment officer at GDS Wealth Management: "While job growth decelerated in May, the payroll data came in above expectations and it is extremely encouraging to see a six-figure print during a time of significant uncertainty driven by tariffs and economic fears. As we start to see more clarity on the tariff outlook, we expect companies to resume any hiring and investment plans that may have been paused during this time of tariff fear." Josh Jamner, investment strategy analyst at ClearBridge Investments: "May's jobs report showed continued resilience for the labor market as the bite from tariffs began to impact the U.S. economy. … The Fed is likely to continue to have little urgency to change course in light of today's steady jobs report, with scant evidence that the labor market is in imminent need of policy support." Bret Kenwell, U.S. investment analyst at eToro: "What does this mean for investors? A strong labor report gives the Fed more breathing room when it comes to holding off on rate cuts. Although inflation is trending in the right direction and other central banks are lowering rates, the Fed is taking a more cautious approach given the potential tariff impacts. So far though, inflation hasn't spiked higher, while the labor market has held steady." Adam Hetts, global head of multi-asset at Janus Henderson Investors: "A solid jobs report offers some relief after concerns brewed over data releases earlier this week. However, the slight beat on payrolls and earnings is partially offset by 95k in downward revisions. Good news is good news today although tariff uncertainty remains, making subsequent hard data releases over the summer extremely important for clarity on the post-Liberation Day economy."
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