World Cup boom falters as US hospitality jobs fall in June

Breaking news from the markets: World Cup boom falters as US hospitality jobs fall in JuneImage source, Getty ImagesImage caption, There had been early signs of a World Cup jobs boom, but hospitality jobs declined in JuneByArchie MitchellBusiness reporterPublished18 minutes agoA World Cup jobs boom has failed to materialise, with employment in restaurants, bars and hotels across the US falling in June. Analysts had expected the tournament, being hosted jointly by the US, Canada and Mexico, to lead to an increase in leisure and hospitality jobs. But the sector saw a decline of 61,000 jobs last month, the Bureau of Labor Statistics (BLS) said on Thursday.

Overall employment in the US rose by 57,000 in June, while the unemployment rate dipped slightly to 4. The BLS's previous release reported early signs of a jobs boom in May, with bars and restaurants ramping up hiring to prepare for the World Cup. And a report by Goldman Sachs analysts expected June's figures to show the competition boosting employment by around 40,000 jobs.

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But, despite reports of travelling football fans drinking bars across the US dry, the growth went into reverse in June. ING's chief US economist James Knightley said leisure and hospitality was a "real area of weakness" in Thursday's figures. He added that the decline was "a bit of a surprise given the World Cup is on and bars and venues are busy".

"Admittedly, this sector had seen a 44,000 jump in May, but even so that is a surprising outcome," he told the .

Economists are analysing what the news means for the markets.