Goods-Producing Industries See Modest Gains
Hiring in goods-producing sectors remained positive but modest. Construction added 16,000 jobs, natural resources and mining rose by 6,000, and manufacturing increased by just 4,000. While these numbers signal resilience in industrial activity, they were not strong enough to offset weakness in higher-employment service sectors.
Small and Mid-Sized Firms Lead Hiring
Job creation by establishment size showed small and mid-sized firms driving April’s limited growth. Firms with 50–249 employees added 21,000 jobs, and those with 250–499 employees followed with 19,000. Very small businesses (1–19 employees) contributed 20,000 jobs, while those with 20–49 workers cut 9,000 positions. Large firms with 500 or more employees added only 12,000 jobs, underscoring a broader trend of cautious expansion.
Market Forecast: Neutral to Bearish Short-Term Outlook
The sharp underperformance in job growth, particularly in consumer-sensitive sectors like education, health, and professional services, raises concerns about labor market momentum. With hiring slowing and uncertainty still prevalent, the April print suggests a neutral to bearish short-term outlook for labor-sensitive sectors. Traders should watch upcoming data for signs of stabilization or further weakening that could influence monetary policy expectations.
More Information in our Economic Calendar.
