environment, compared to the fear and dread and loathing of 2008 and 2009. there isn t much of that out there. it s a high class problem, but then again, the fed has taken rates up a whole five points since march of 2022, and that is whiplashing. that is a tremendous rate of change and a lot of banks got caught behind the ball in this case, and you re seeing people having to fess up. that by itself is creating some sort of parallel tightening to what the fed is doing. is the fed going to consider that? already people in the bond marketing wondering when, not if we re going to have interest rate cuts. we saw the markets liking today s jobs report. that s up for now as well. robin farzad and brian chunk, thank you both so much. just ahead i ll talk with mitch landrieu, a senior adviser to president biden about the state of our economy. let s fast forward for just a moment. this afternoon a federal judge could set a record for the longest prison term for a january 6th defendant, we re t
raising interest rates and the economy is holding up prettywel? this is a rare report, and if you match that with what we re seeing in the adp data, it s rare because you can have your cake and eat it too. we saw a lot of hiring, but matching that with the adp payroll data, wage growth actually is moderating, and if you look at the jobs report over a period of month, you see that deceleration in wage growth. that s great news for the fed because wages are not going to be the driver of inflation, even though we re seeing all this hiring. hiring is good for the worker, good for the economy, but having moderating wage growth is good for the fed who is trying to contain inflation. seems like one of those days we might be able to take yes for an answer, at least from the econom economic data. kate. ahead for us, police in davis, california, have a man in custody who they say was responsible for three stabbings that really terrorized that college community.
lasted a week, and over 8% if the standoff lasts more than six weeks. let s hope it doesn t happen. john. thanks for that cheery report. very gloomy. you know what s not gloomy? this new jobs report. new this morning, a surprising report from april revealing employers added 253,000 jobs last month. that is way more than analysts had expected and shows the labor market is doing fine when other indicators pointed to a possible showdown, slowdown, the unemployment rate dropped from 3.5% to 3.4%, tied for the lowest level since 1969. very low. with us now, the chief economist for the payroll firm adp. one way to describe this jobs report and i keep looking at the numbers is bafo. how do you see it? that wasn t the first word that came to mind, but it s a very strong report. and you know what made all of
Wall Street bounced back as strong US jobs data and a rebound in regional banking shares lift Dow Jones, S&P 500, and Nasdaq. Apple and Expedia also reported gains, while Lyft saw a drop in stock price due to low revenue projections.
the difference? the difference was made by the fact that people came off the sidelines and into the labor market. we re seeing labor force participation rate in this report for prime age workers finally exceed what it was before the pandemic. that s good news for labor supply. and it means that the labor market has momentum in terms of hiring too. very strong report, and any adjective you have that rhymes with strong is great for me. bafo does not rhyme with strong, but it means the same thing. in terms of where we re seeing these jobs being added, it s service sector, largely. professional and business services, health care, leisure and hospitality. talk to me about where you re seeing strength. exactly that. in those consumer facing services. recall that when the u.s. lost 20 million jobs in march and april of 2020, much of it was in the service sector.