U.S. Job Gains Beat Forecasts, But Trade Gap Grows

Official US government data for June 2025 shows the economy added 147,000 jobs, more than expected. The unemployment rate dropped to 4.1 percent, a positive sign for workers.

However, most new jobs came from government hiring, which rose by 73,000, while private sector job growth slowed to 74,000. Manufacturing lost 7,000 jobs, showing continued weakness in that sector.

Wages increased by 0.2 percent for the month and 3.7 percent over the past year. This growth is slower than earlier in the year, so workers are not seeing big pay raises.

The average workweek shortened slightly to 34.2 hours, hinting that businesses remain careful about adding hours or staff.

The labor force participation rate, which measures people working or looking for work, slipped to 62.3 percent.

The broader US unemployment rate, which includes part-time workers who want full-time jobs and discouraged workers, stood at 7.7 percent.

Trade figures for May show the US trade deficit widened to $71.5 billion. Exports fell to $279 billion, while imports stayed high at $350.5 billion.

U.S. Job Gains Beat Forecasts, But Trade Gap Grows

This means the US keeps buying more from abroad than it sells, which can hurt local industries.

Factory orders rebounded by 8.2 percent in May, showing some strength in manufacturing demand.

Business activity, measured by the S&P Global Composite PMI, reached 52.9 in June, which signals moderate growth.

These numbers show the US job market remains steady, but most new jobs are in government.

Wage growth has slowed, and the trade deficit is growing. Manufacturing is struggling, while overall business activity is expanding, but not quickly.

This matters because job growth, wages, and trade affect everyone’s economic well-being.

The figures come from official US government sources and give a clear view of the current economic situation.