US applications for jobless aid rose modestly last week, with the number of Americans filing for unemployment aid for the week ending June 6 increasing by 4,000 to 229,000, according to the Labor Department. This is the most since early February, before the US and Israel launched attacks on Iran, but still considered a healthy level.

Job Market Remains Resilient

Despite concerns that the conflict in the Middle East could further squeeze a flagging labor market, hiring has picked up in recent months following a slow 2025. US employers delivered a surprising 172,000 new jobs in May, and the economy is averaging 188,000 job gains in the three months since the Iran war began in late February.

The unemployment rate remains historically low at 4.3%, and job openings also rose in April as employers posted 7.6 million vacancies, up from 6.9 million in March and the most since May 2024.

Rising gas prices, triggered by the closure of the Strait of Hormuz off Iran’s southern border, pushed US consumer inflation in May to 4.2%, its highest level in three years. Despite recent declines, prices for oil and gas remain elevated, which can squeeze consumers’ budgets and make businesses think twice about hiring.

Federal Reserve Meeting

With inflation well above the Federal Reserve’s 2% target, most analysts expect officials at the US central bank to stand pat on its benchmark interest rate when they meet next week. This meeting will be the first with new Fed Chair Kevin Warsh, who replaces Jerome Powell after his eight-year run as the US central bank’s leader.

Original reporting: KTBS 3 (Shreveport) — read the source article.