The U.S. added 73,000 jobs in July. Healthcare and social assistance accounted for most of the gains, while federal government jobs continued to decline. The unemployment rate ticked up to 4.2%, while previous job totals for May and June were revised down sharply by 258,000. Average hourly wages rose 0.3% for the month, with year-over-year growth at 3.9%.
The labor force participation rate dropped to 62.2%, and long-term unemployment reached its highest level in over two years. Broader unemployment hit 7.9%.
.@CEA47 Chair @SteveMiran: "Since the President took office, he [has] created about 2.5 million jobs for Americans — whereas we've eliminated about a million jobs for foreign-born workers. That's a result of our strong immigration policy." pic.twitter.com/tZpQmsGQCa
— Rapid Response 47 (@RapidResponse47) August 1, 2025
Following the report, markets fell and futures traders raised the likelihood of a September rate cut to over 75%. President Trump intensified criticism of Fed Chair Jerome Powell, demanding immediate action.
While GDP grew 3% last quarter, analysts warn the number was inflated by tariff-related import changes, masking a slowdown in consumer demand and hiring momentum.
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TIPP Staff
