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Bottom Line: The July jobs report was a massive downside that surprised both markets and forecasters alike. The US labor market shed 23K jobs and the unemployment rate fell to 4.1%. But the July payrolls story does not mark a significant departure from our base case narrative.  Hiring is evidently less robust than previously anticipated – 60K jobs have been added over the past three months which marks a pronounced slowing from hires seen earlier this year. But with the unemployment rate ticking down to 4.1% as the labor force participation rate falls again to 61.4%, the story of labor market tightness is more pressing than ever, and breakeven employment continues to be exceptionally low. Looking at labor force participation rates by age is important: prime-age participation did not fall – in fact, it ticked up (to 83.4% from 83.3%). Labor force participation fell for both workers under 24 and workers aged 55 and older. And interestingly, the number of persons out of the...

The United States labour market lost 23,000 jobs in July, with major declines across several sectors, including education, government and retail trade.On Friday, the Bureau of Labor Statistics released its latest jobs report, which showed that the unemployment rate fell to 4.1 percent from 4.2 percent.Recommended Stories list of 4 itemsend of listPart of that dip, however, was driven by a decline in labour force participation, the percentage of people working or actively looking for work.Labour force participation fell to 61.4 percent, its lowest level in five years. Excluding the economic impacts of the COVID-19 pandemic, the labour force participation rate is at its lowest level in five decades.Some 264,000 people left the labour force, meaning they are no longer working or looking for work.The retail trade sector lost 19,000 jobs overall. Warehouse clubs and big-box retailers were hit the hardest, shedding 21,000 jobs, while petrol stations cut another 5,000. Those losses were partly offset by gains at stores selling more...

US employers unexpectedly cut jobs in July and hiring in the prior two months was revised lower, suggesting the labour market is weaker than previously thought after surprising strength earlier this year.Nonfarm payrolls decreased 23,000 last month following a combined 103,000 downward revision to the May and June figures, Bureau of Labor Statistics data showed. The unemployment rate fell to 4.1 per cent as labour force participation continued to slide, and wage growth slowed.Loading...Bloomberg Source link...

The U.S. economy shed 23,000 jobs in July, a sign that the labor market had not stabilized after four months of positive growth.The unemployment rate ticked down only slightly to 4.1%.Economists surveyed by Dow Jones were expecting the release to show 83,000 added roles, more than June’s 57,000. In yet another troubling sign for the labor market, the Bureau of Labor Statistics said that it revised down the prior two months by a combined 103,000. May’s jobs total was cut by 66,000 to 129,000 total jobs added, while June’s total was lowered by 37,000 to a total gain of 57,000.The hiring data comes against a complicated economic backdrop. The U.S. war with Iran continues without any kind of agreement to fully reopen the Strait of Hormuz. As a result, energy prices remain elevated, even if they are off their highest levels of the year. The change in workers’ average hourly earnings also fell well short of economists’ expectations. Wage growth...

The U.S. economy shed 23,000 jobs in July, a sign that the labor market had not stabilized after four months of positive growth.The unemployment rate ticked down only slightly to 4.1%.Economists surveyed by Dow Jones were expecting the release to show 83,000 added roles, more than June’s 57,000. In yet another troubling sign for the labor market, the Bureau of Labor Statistics said that it revised down the prior two months by a combined 103,000. May’s jobs total was cut by 66,000 to 129,000 total jobs added, while June’s total was lowered by 37,000 to a total gain of 57,000.The hiring data comes against a complicated economic backdrop. The U.S. war with Iran continues without any kind of agreement to fully reopen the Strait of Hormuz. As a result, energy prices remain elevated, even if they are off their highest levels of the year. The change in workers’ average hourly earnings also fell well short of economists’ expectations. Wage growth...

If the Canada-U.S.-Mexico free trade deal, also known as CUSMA, breaks down, it would lead to more than 100,000 job losses in Canada and more than twice that in the United States, a new report by an industry group is warning. In July, Washington said it won’t renew the deal, known as USMCA in the U.S., in its current form. That means the trade deal must be reviewed annually, adding to the volatility and economic uncertainty facing businesses. At the same time, the clock is ticking ahead of a fresh round of U.S. tariffs.U.S. President Donald Trump has vowed to hit Canada with new sweeping 50 per cent tariffs on a wide range of goods, which are set to land on Aug. 19.A lot is riding on the deal being renewed, a new report by the Canadian American Business Council warns. Story continues below advertisement “Successful renegotiation of USMCA would create an additional 137,000 American jobs and 98,000 Canadian jobs in 2027 relative...

If the Canada-U.S.-Mexico free trade deal, also known as CUSMA, breaks down, it would lead to more than 100,000 job losses in Canada and more than twice that in the United States, a new report by an industry group is warning. In July, Washington said it won’t renew the deal, known as USMCA in the U.S., in its current form. That means the trade deal must be reviewed annually, adding to the volatility and economic uncertainty facing businesses. At the same time, the clock is ticking ahead of a fresh round of U.S. tariffs.U.S. President Donald Trump has vowed to hit Canada with new sweeping 50 per cent tariffs on a wide range of goods, which are set to land on Aug. 19.A lot is riding on the deal being renewed, a new report by the Canadian American Business Council warns. Story continues below advertisement “Successful renegotiation of USMCA would create an additional 137,000 American jobs and 98,000 Canadian jobs in 2027 relative...

As trade talks aimed at avoiding fresh U.S. tariffs continue, a new report is warning that the breakdown of the Canada-U.S.-Mexico Agreement would lead to hundreds of thousands of job losses and major economic impacts on both sides of the border.The report, prepared for the Canadian American Business Council by Oxford Economics — an independent economic advisory firm — and released Monday, analyzed the likely result of three different outcomes of the ongoing trade talks between the U.S. and Canada.The scenarios were a status quo situation where current tariffs remain in place, a scenario where the CUSMA agreement breaks down, and one where CUSMA is successfully renegotiated and the trading relationship improves.In the event that CUSMA were to end, a projected 214,000 American and 102,000 Canadian jobs would be lost, the report said, compared to the status quo scenario.But if CUSMA were renegotiated successfully, the U.S. and Canada stand to add jobs — 137,000 and 98,000 of them, respectively."It means...

The U.S. economy lost 23,000 nonfarm payroll jobs in July, marking the first monthly decline since February 2026, according to the Bureau of Labor Statistics. The unexpected employment loss came as the unemployment rate fell to 4.1% from 4.2% in June—a decline driven largely by workers leaving the labor force rather than finding jobs. Economists had projected payroll gains of around 83,000 jobs for July. The shortfall was compounded by significant downward revisions to prior months: May and June employment figures were lowered by a combined 103,000 jobs, with May’s gain cut by 66,000 to 129,000 and June’s reduced by 37,000 to 57,000. The July employment decline signals a cooling labor market after several months of modest growth. The 12-month average for nonfarm payroll job gains stands at 34,000 per month, well below the pace seen in prior years. Government payrolls contracted by 53,000 jobs in July, with the sector’s June gain of 8,000 revised downward to a loss of 10,000 jobs. Labor...

Italian aluminum die casting company 2A USA is expanding its Auburn manufacturing facility with a $32 million investment, Gov. Kay Ivey announced Wednesday.The expansion will create 50 jobs and increase the company’s capacity to cast and machine complex, large aluminum components for the heavy truck industry.“Advanced manufacturing is a pillar of Alabama’s economy and 2A USA’s presence and growth in our state is a testament to its products and company standards,” Ivey said. “It is also a strong vote of confidence in Alabama’s workforce and our pro-business environment.”The Tier I automotive supplier arrived in Alabama in 2014 after acquiring an existing plant in Auburn Technology Park West. The company installed state-of-the-art die-casting and machining equipment at the facility before investing another $15 million in an expansion in 2019.Commerce Secretary Ellen McNair called the company’s continued growth a success story for foreign investment in Alabama.“Foreign investments play a key role in Alabama’s economy and 2A’s expansion highlights what is possible when...