Unemployment Rate Falls to 13.3

MONTHLY employment report indicated that U.S. economy gained 2.5 million jobs in May and the unemployment rate dropped to 13.3 percent.

According to the report released Friday by the Bureau of Labor Statistics, that’s down from 14.7 percent in April.

The surprising data comes amid the phased reopening of businesses across the country after months of economic pain from the coronavirus pandemic, which pushed up unemployment to Great Depression-era levels and obliterated all job gains since the Great Recession.

President Donald Trump was swift to celebrate the positive labor market news, tweeting three minutes after the release, “Really Big Jobs Report. Great going President Trump (kidding but true)!”

“We’re going to be back higher next year than ever before,” Trump said of the economy, during a briefing from the Rose Garden on Friday morning. “This shows that what we’ve been doing is right.”

Congress is currently considering another $3 trillion infusion into the economy that would extend various federal aid programs, including the $600 additional unemployment benefit that expires next month.

Still, the impact of the coronavirus pandemic will be felt for a decade and wipe almost $8 trillion off the nation’s economic growth, the Congressional Budget Office said on Monday. The agency also projected that economic output would plunge by almost $16 trillion over the 2020–2030 period.

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