In May, the unemployment rate reached 4% for the first time since January 2022, representing a minor uptick from April’s 3.9% rate. However, economists are saying “don’t worry” because new college graduates are likely the key reason for the increase. The May numbers chiefly reflected unemployment by new job seekers ages 20 to 24 as well as teens looking for a summer job.

The U.S. unemployment rate has been notably low for the past several years and 4% is still considered to be a historically low rate, according to experts and economists who will continue to monitor unemployment insurance claims, which approached 240,000 for the week ended June 15.

Likewise, both the number of jobs and overall size of labor force are both continuing to grow: Nearly 84% of people ages 25-54 are actively participating in the workforce, based on Bureau of Labor Statistics data, its highest peak in two decades. In addition, overall job growth is strong with “nonfarm” payrolls reaching 272,000 in May, outpacing the Dow Jones estimate of 190,000.

The news for now: All is well, but continue to pay attention to future unemployment rates and insurance claims.