Details of the June nonfarm payrolls report:

  • Prior 280K (revised to 254K)
  • Average hourly earnings 0.0% vs +0.2% exp
  • Avg hourly earnings 2.0% y/y vs 2.3% exp
  • Two month net revisions -60K
  • Private payrolls 223K vs 225K exp
  • Average weekly hours 34.5 vs 34.5 exp
  • Labor force participation 62.6% vs 62.9% prior
  • unemployment rate 5.3% vs 5.4%
  • Underemployment rate 10.5% vs 10.7% exp

The wage inflation numbers, revisions and drop in the participation rate add up to make this a soft jobs report and that was immediately reflected in the market with USD/JPY falling to 123.07 from 123.50.

Net change

Participation rate