July 1998 — 1998-07-02

Advance copies of this statement are made available to the press under lock-up conditions with the explicit understanding that the data are embargoed until 8:30 a.m. Eastern Daylight Time. Good morning. I am pleased to have this opportunity to comment on the employment and unemployment data that were released this morning. Nonfarm payroll employment grew moderately in June, and the unemployment rate edged up. At 4.5 percent, the unemployment rate was slightly higher than in the prior two months, but it was still quite low by recent historical standards. The nonfarm job count rose by 205,000 over the month. Private-sector employment grew by 238,000, about in line with the average monthly increase of 242,000 over the prior year. As in most recent months, job growth in June was driven by gains in the service-producing sector of the economy. Employment in the services industry expanded by 136,000.