MNI BRIEF: US April Payrolls Beat Expectations, U-Rate 4.2%

U.S. employers added 177,000 payrolls in April, above Wall Street expectations for a 135,000, and the unemployment rate was flat at 4.2%, the Bureau of Labor Statistics said Friday. Payrolls for March and February were revised down by 58,000, making the three-month average gain 155,000. 

The solid jobs report should reinforce the Federal Reserve's wait-and-see stance on interest rates until there's more clarity how tariffs will impact the economy. The unemployment rate has remained in a narrow range of 4.0% to 4.2% for the past 12 months. (See: MNI INTERVIEW: A Few Fed Cuts Likely By Year-End - Bullard)

Average hourly earnings grew 0.17% in April, the weakest since August 2023. Over the year, earnings grew 3.8%.