Trump's Trade Turbulence: The Economic Storm Brewing in the US Labor Market
US hiring is sharply slowing, with only 73,000 jobs added last month—a significant drop from the expected 115,000. President Trump's radical trade policies are blamed for paralyzing businesses and creating economic uncertainty, leading to a rise in unemployment and a call for lower interest rates.
- Country:
- United States
The slowdown in U.S. hiring has raised alarms about the health of the economy, with only 73,000 jobs added last month, falling short of expectations. President Donald Trump's controversial trade policies are being cited as a significant factor causing paralysis in the business sector and economic uncertainty.
The latest jobs report highlights revisions that cut 258,000 jobs from the May and June payrolls. The unemployment rate increased to 4.2%, compounding concerns. Economists warn that the current situation indicates a risk of a more challenging period ahead for the labor market as trade tensions persist.
In response to the weak jobs data, markets reacted negatively, and President Trump has called for the firing of the Labor Department's Bureau of Labor Statistics director. Economists are suggesting that while the situation is dire, it could potentially pressure the Federal Reserve to consider interest rate cuts in upcoming meetings.
(With inputs from agencies.)
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