May jobs report blows past forecasts as labor market heats up

The U.S. labor market continues to simmer as the economy added significantly more jobs than expected in May, furthering the view that the Federal Reserve will wait until at least September to cut interest rates.

Employment data also showed the jobless rate inching slightly higher to 4% from 3.9% in April, breaching a 27-month stretch of holding below that threshold. 

Nonfarm payrolls rose by 272,000 jobs last month, exceeding forecasts of 180,000. Downward revisions had 15,000 fewer jobs than previously reported in March and April combined.