Bay Area unemployment rate up year over year

The Bay Area's June unemployment rate was slightly down compared to May, but higher than the year prior.

By the numbers: The San Francisco-Oakland-Hayward metro area's unemployment rate was 4.1% in June, up from 3.5% from June 2023.

The big picture: The national unemployment rate is above 4% for the first time since 2021 as it's taking workers longer to find jobs.

• That bears watching for signs of economic weakness. For now, though, policymakers still see it as a solid labor market.

The bottom line: The economy is no longer in the rip-roaring state that helped stoke inflation.

• Rather, economic activity is slowing, so far, in a way that isn't too sudden. The gentle cooling gives the Fed room to cut interest rates possibly as soon as September.