U.S. Jobs Fall In July
The July jobs report showed a surprise drop in U.S. employment amid a summer slowdown.
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Updated Aug 7, 7:46pm ETEvery side, every morning
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The reporting
U.S. employers cut 23,000 jobs in July, missing consensus forecasts for roughly 83,000 gains and signaling a sharp slowdown in hiring. The unemployment rate fell to 4.1% from 4.2%, largely because labor force participation declined rather than because employment rose. Payroll gains for May and June were revised down by a combined 103,000, while local government education, retail, and leisure and hospitality lost jobs and health care continued hiring. Stocks rose and Treasury yields fell as investors saw less urgency for another Federal Reserve rate increase.
Analysis & opinion
Partisan SpinMostly Left
Political and media defenders are dodging inconvenient labor-market data and putting a partisan gloss on a clearly weak report. The explanations ignore the facts, ordinary workers’ struggles, and clear signs that the job market is weakening.
Weakening Labor MarketLeft & Center
The July jobs report is a serious disappointment and shows that the labor market is losing momentum. Job losses, downward revisions, and tepid hiring make Trump’s claims of a booming or best-ever economy untenable.
Muddled SignalsMostly Center
The headline jobs and unemployment figures cannot be taken at face value. Payroll losses may overstate weakness, while the unemployment improvement may be misleading if people are leaving the workforce instead of finding jobs.
Republican LiabilityBalanced
The bad jobs report damages Republicans politically by undercutting Trump’s economic sales pitch. A weak, stagnant labor market gives opponents a potent argument heading into the midterm elections.
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