Economy beats expectations with 850,000 jobs in June, unemployment at 5.9%

The economy rebounded and added 850,000 new jobs in June, a welcome result after two months of disappointing growth.

The unemployment rate slightly increased to 5.9%, the Bureau of Labor Statistics reported Friday.

The numbers exceeded expectations, with the consensus among economists being that 700,000 jobs would be added, and unemployment would drop from 5.8% to 5.7%.

Employment in the leisure and hospitality industry grew 343,000, another strong showing, as pandemic-related restrictions continued to ease across the country. More than half of those job gains were in restaurants and bars as vaccinations grow.