Unexpectedly, job vacancies in the United States increased in May, but the labor market showed signs of fatigue.

Data released by the U.S. Department of Labor on Tuesday showed an unexpected increase in job vacancies in May, indicating strong demand for labor in certain sectors. However, the number of hires during the same period decreased, reinforcing concerns in the market about a slowdown in job growth. Analysts pointed out that the uncertainty caused by the Trump administration's tariffs on imported goods has made companies more cautious in decision-making, especially with the 90-day tariff "pause" with China set to expire soon. According to the Job Openings and Labor Turnover Survey (JOLTS) report released by the Labor Statistics Bureau under the Department of Labor, as of the end of May, the total number of job vacancies in the United States increased by 374,000 compared to the previous month, reaching 7.769 million, higher than the economists' expected 7.3 million. Meanwhile, the number of hires in May decreased by 112,000 to 5.503 million, and the number of layoffs decreased by 188,000 to 1.601 million. Despite the increase in job vacancies, the sluggish hiring activity is seen by the market as companies being cautious about the future economic outlook. In particular, the 90-day pause on retaliatory tariffs imposed by the Trump administration on trade partners is set to end on July 9th, and it is still unclear whether the grace period will be extended, causing uncertainty in long-term employment decisions for businesses. U.S. Treasury Secretary Steven Mnuchin said on Monday that if negotiations do not progress, some trade partners could face higher tariffs as early as next Wednesday. He also added that whether to extend the tariff grace period will ultimately be decided by President Trump. Trump himself hinted that Japan may soon receive a notice of increased tariffs and stated that he believes in some cases it may not be necessary to extend the July 9th tariff deadline. At the same time, other indicators in the job market are also showing signs of weakness. Data released last week showed that the number of people continuing to receive unemployment benefits surged to the highest level in three and a half years as of mid-June. Consumer surveys by the U.S. Congressional Committee also showed that in June, the percentage of consumers who felt "job opportunities are plentiful" dropped to the lowest level in over four years. According to the latest survey of economists by foreign media, the U.S. Department of Labor is expected to release the June nonfarm payroll report on Thursday (due to the July 4th holiday). It is expected to show that the unemployment rate in June increased from 4.2% in May to 4.3%; with nonfarm payrolls expected to increase by 110,000, lower than the 139,000 increase in May.