U.S. Employers Add 57,000 Jobs in June; Unemployment at 4.2%

U.S. employers added 57,000 nonfarm jobs in June, less than half the 115,000 gain economists had forecast. The Bureau of Labor Statistics released the report on Thursday, one day early because of the July 4 holiday.

Payroll growth in May was revised down to 129,000 from the previously reported 172,000. April was revised to 148,000 from 179,000. The two-month downward adjustment totaled 74,000 jobs. The unemployment rate declined to 4.2 percent from 4.3 percent in May.

Average hourly earnings rose 3.5 percent from a year earlier, up from 3.4 percent in May. Daniel Zhao, chief economist at Glassdoor, said the unemployment drop reflected fewer people in the labor force rather than stronger hiring. "June's jobs report put a damper on the fireworks, coming in well below expectations and pointing to a labor market that's more fizzle than sparkle," he said.