Washington (Reuters) – The American economy created more jobs than expected in May, although a slower rate due to tariff uncertainty, while the unemployment rate remained stable at 4.2%, which could allow the Federal Reserve (Fed) to delay somewhat the takeover of interest rate discounts.

The monthly report of the Labor Department lists 139,000 non -agricultural jobs created over the month, while economists interviewed by Reuters provided on average 130,000 net creations after 147,000 in April (revised figure of 177,000).

The unemployment rate remained stable in May at 4.2% for the third consecutive month, as planned by analysts.

The average salary in the private sector increased by 0.4% in May against 0.2% a month earlier and a 0.3% consensus.

“The increase in staff was greater than forecasts, but the figures for previous months have been revised downwards, which has removed a little radiance from this report … at first glance, this shows an economy that resists the weight of the trade war, but the details show that many cracks are forming,” said Brian Jacobsen, economist at Annex Wealth Management

The economy must create around 100,000 jobs per month to follow the growth of the working age population, even if this figure could decrease due to the revocation by President Donald Trump of the temporary legal status of hundreds of thousands of migrants.

The reluctance of employers to dismiss, while the reversals of the White House on Customs Rights hamper the capacity of companies to plan and encourage caution, could convince the American Central Bank not to rush on rate reductions.

The Fed decision -makers consider that it is necessary to wait until September to reduce rates, with a single additional reduction is envisaged by December, according to transactions on term contracts on short -term interest rates.

The yields of the American treasury increase after the publication of the data: that of the Treasuries at ten years takes nearly 7 base points at 4.4638%. The two years displays a gain similar to 3.9929%.

The term contracts on the American stock market indices also amplify their earnings, while the report, more solid than expected, appeased concerns about the health of the labor market.

The term contracts give an opening up 0.65% for the Dow Jones, 0.78% for the Standard & Poor’s-500 and 0.84% ​​for the Nasdaq.

The dollar also amplifies its increase and earns 0.38% against a basket of reference currencies.

(Written by Lucia Mutikani, Diana Mandiá, edited by Blandine Hénault)

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