6/6/2023 – MetroIntelligence Economic Update by P. DUFFY

MetroIntelligence Economic Update by P. DUFFY


May employment rises by a surprising 339,000, unemployment rate ticks up to 3.7 percent

Total nonfarm payroll employment increased by 339,000 in May, and the unemployment rate rose by 0.3 percentage point to 3.7 percent. Over the past 12 months, average hourly earnings have increased by 4.3 percent. After revisions, employment in March and April combined is 93,000 higher than previously reported.


May service sector index falls to 50.3 percent, barely in growth mode

In May, the Services PMI® registered 50.3 percent, 1.6 percentage points lower than April’s reading of 51.9 percent. The composite index indicated growth in May for the fifth consecutive month after a reading of 49.2 percent in December, which was the first contraction since May 2020 (45.4 percent). The majority of respondents indicate that business conditions are currently stable; however, there are concerns relative to the slowing economy.


Hidden costs of homeownership can add up to nearly $15,000 annually

The everyday expenses of owning a home are higher than ever, according to a new analysis from Zillow® and Thumbtack. Utility bills, property taxes, insurance and essential home maintenance can add up to $14,155 a year for the average U.S. homeowner. That’s an additional $1,180 per month on top of a typical mortgage payment. First-time home buyers facing affordability challenges in today’s market need to understand and budget for these less obvious expenses when calculating how much home they can afford.