The April jobs report was a huge letdown, with nonfarm payrolls increasing by only 266,000, while Dow Jones estimates had been for 1 million. Many economists had expected jobs number to be even higher than that amid signs that the U.S. economy was roaring back to life.
But the numbers disappointed in more ways than one. Instead of falling to the expected 5.8%, the unemployment rate rose to 6.1% due to an escalating shortage of available workers.
And there was more bad news: March’s originally estimated total of 916,000 jobs was revised down to 770,000, although February saw an upward revision to 536,000 from 468,000. Read more about the jobs environment here.