3 things to know about the May 2016 jobs report

jobs report

It may feel like summer, but the U.S. economy plunged into a deep freeze in May, according to the new BLS jobs report.

It may feel like summer, but the U.S. economy plunged into a deep freeze in May, according to the new BLS jobs report released this morning.

Reactions from news outlets have been strong. Here's a sampling of headlines: "The Latest Jobs Report Badly Misses Estimates," "U.S. job creation weak, even as unemployment rate falls to 4.7%" "Why the Disappointing May Jobs Report is So Important" and "May's Jobs Report: Very Disappointing."

Here are three things to know from today's report:

1. May numbers weren't even kind of close. While economists were expecting a modest 162,000 jobs to be added in May, the actual numbers were staggeringly lower at 38,000. That makes it the worst monthly job gain since 2010. It also means that job gains have dropped for the third month in a row.

According to CNN Money, external factors, such as Verizon's strike may have contributed to the low numbers, but it still doesn't explain it entirely. "About 36,000 Verizon employees went on strike for 6 weeks, demanding better pay and conditions. That had a negative impact on job gains. Still, the Verizon strike does not fully explain such weak job growth in May."

2. The unemployment rate is noteworthy. The unemployment rate ticked down to 4.7 percent in May, which is the lowest it has been since 2007, but take a look at the bigger picture. According to CNBC: "That rate does not include those who did not actively look for employment during the month or the underemployed who were working part-time for economic reasons. A more encompassing rate that includes those groups held steady at 9.7 percent."

3. What does this mean for interest-rate hikes? The bottom line is: It could certainly have an impact.

According to Time: "The case for the Federal Reserve raising interest rates just got a lot harder. For a second consecutive month employers added a disappointing number of new workers to their payrolls, the government reported on Friday. Now the Fed has to determine whether the economy is still strong enough to endure the first rate increase in six months when the central bank convenes in about two weeks."

According to The Wall Street Journal: "Federal Reserve officials have signaled that they would be ready to raise short-term interest rates again as soon as the June meeting if the U.S. economy continued to improve. Friday's employment report, which also showed employers added fewer jobs in April and March than previously estimated, doesn't provide support for raising rates, analysts said."