U.S. nonfarm payroll growth slowed markedly in June 2026, with the economy adding just 57,000 jobs, down from 172,000 in May 2026. The latest data, updated on 2 July 2026, point to a significant loss of momentum in the labor market over the early summer period.
The abrupt deceleration from May to June suggests employers have become more cautious about hiring, though the data alone do not indicate the underlying causes. The step down in job creation will likely draw close attention from investors, policymakers, and analysts watching for signs of a broader cooling in economic activity.
With nonfarm payroll gains now a fraction of the previous month’s level, markets are expected to focus on upcoming labor and inflation reports for confirmation of whether this is a one-off slowdown or the start of a more persistent trend in U.S. employment growth.
