May jobs report expected to show growth in an economy squeezed by inflation

Article excerpt

The May jobs report, due Friday morning, is expected to show steady hiring even as inflation squeezes household finances and erodes purchasing power. Economic data over recent weeks has painted a mixed picture: labor markets remain resilient, but consumer spending is cooling as higher prices for food, energy, and rent drain wallets. The tension between job creation and price pressures will likely shape how policymakers approach interest rates in coming months. Economists surveyed by NBC News project the economy added roughly 185,000 jobs last month, a modest slowdown from April's pace.