US Hospitality Jobs Fall 61,000 in June as World Cup Fails to Deliver 40,000 Boost
Updated
Updated · BBC.com · Jul 2
US Hospitality Jobs Fall 61,000 in June as World Cup Fails to Deliver 40,000 Boost
3 articles · Updated · BBC.com · Jul 2
Summary
Leisure and hospitality payrolls dropped by 61,000 in June, reversing May hiring and undercutting expectations that the World Cup would lift bars, restaurants and hotels.
Goldman Sachs had projected roughly 40,000 World Cup-related jobs, but BLS data instead showed overall US employment rising just 57,000 while unemployment edged down to 4.2%.
April and May payroll gains were also revised down by 74,000, reinforcing economists' view that the recent hiring pickup was weaker than first reported.
ING called hospitality a clear weak spot despite busy venues, and analysts said the softer jobs picture makes a Federal Reserve rate hike later this month less likely.
Wealth Club said fading expectations for multiple hikes point to a possible "Goldilocks" backdrop for the US economy, with only one increase now fully priced in for next year.