US adds 115,000 jobs in April 

The US economy added 115,000 jobs in April, exceeding Wall Street’s expectations for the second month in a row.

Friday’s figure from the Bureau of Labor Statistics was down from the upwardly revised 185,000 posts added in March, but ahead of the 65,000 anticipated by economists in a Bloomberg poll. The unemployment rate held steady at 4.3 per cent.

American employment data has fluctuated in recent months, swinging between big gains and losses that have made it difficult for analysts to gauge the overall health of the economy.

While the unemployment rate has remained relatively low, the Federal Reserve has become increasingly divided about how to respond to the energy shock triggered by the Iran war as policymakers debate its potential impact on the economy. 

Some officials fear higher inflation could be combined with rising unemployment, creating a stagflationary dynamic as consumers dial back spending, prompting lay-offs by employers.

“If businesses see the demand for their products isn’t as strong, that could mean that they’re going to pull back on hiring,” said Beth Hammack, president of the Cleveland Federal Reserve, in an NPR interview on Thursday. 

“Right now, it looks to me like everybody who wants a job, largely, can find a job. But if you see that demand side coming under pressure, then that could be in jeopardy on [the employment] side of our mandate. And so, to me, right now, there’s a lot of uncertainty.”

US stock-index futures were higher following April’s jobs report, with contracts tracking the blue-chip S&P 500 up 0.5 per cent and those following the tech-heavy Nasdaq 100 up 0.8 per cent.

This is a developing story