| Actual | Previous | |
| Adjusted | 3.1% | 3.0% |
| Not Adjusted | 3.0% | 3.0% |
Highlights
The seasonally adjusted unemployment rate rose to 3.1 percent in May from 3.0 percent in April, while the unadjusted rate held steady at 3.0 percent, as more people were chasing fewer jobs.
The ranks of jobseekers increased to 230,443 from 229,045 on an adjusted basis, while the number of open positions shrank by 1,790 compared to the previous month to 45,510. Youth unemployment was steady in May with the unemployment rate holding at 2.7 percent.
Among the main sectors, the unemployment rate in the chemical and refining industries rose to 3.5 percent from 3.4 percent in April. A year ago, the rate was 3.0 percent. The watchmaking industry saw a pullback to 5.6 percent from 5.7 percent in April and compares favorably to the 5.9 percent jobless rate in April of last year. That underscores the recovery the industry has had since the US tariffs which hit watchmakers particularly hard, were declared illegal.
Despite the May increase in the jobless rate, the labor market is in pretty good shape generally, although there are some soft spots to be aware of.
Definition
The unemployment rate measures the number of unemployed as a percentage of the labour force. Both seasonally adjusted and unadjusted monthly data are provided.
Description
Like the employment data, unemployment data help to gauge the current state as well as the future direction of the economy. Employment data are categorized by sectors. This sector data can go a long way in helping investors determine in which economic sectors they intend to invest.
By tracking the jobs data, investors can sense the degree of tightness in the job market. If employment is tight it is a good bet that interest rates will rise and bond and stock prices will fall. In contrast, when job growth is slow or negative, then interest rates are likely to decline - boosting up bond and stock prices in the process.