U.S. labor market shows signs of cooling

NEW YORK – U.S. employers added a seasonally adjusted 175,000 jobs in April, the Labor Department reported. That was far less than in March, when gains exceeded 300,000. It was also below the 240,000 economists had expected.

According to the Wall Street Journal, the report will keep hope alive for a late-summer interest-rate cut from the Federal Reserve, because it eases fears of an overheating economy.

Analysts said the April employment report showed the labor market is cooling but didn’t signal a serious deterioration in hiring conditions. The unemployment rate ticked up to 3.9 percent from March’s 3.8 percent.

Job gains slowed broadly, with easing particularly noticeable in the government, leisure and hospitality, and construction sectors.