U.S. Employment Report Shows Slow Growth in August

The U.S. economy added just 22,000 jobs last month, a dramatic slowdown from the revised 79,000 in July. The unemployment rate went up from 4.2% to 4.3%, which is the highest it has been since October 2021, according to the Bureau of Labor Statistics.

Key Takeaways:

• The probability of a rate cut at the Sept. 17 FOMC meeting sits at 92.0% at the time of this blog’s publication.

• June, which was initially reported as 139,000 jobs, was revised to an actual figure at -13,000. According to Investopedia, “It was the first time since 2020 that the U.S. economy lost jobs.”

• The cause? Surveys and other economic indicators implicated that tariff increases delayed plans to hire more workers while tightening consumer budgets. 

Interested in reading more? See this article on Investopedia.

Source: CME Group