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5 questions Trump faces after dismal jobs report; BLS commissioner firing

4 90
02.08.2025

President Trump’s economic pitch took a serious hit Friday after the latest federal jobs report revealed stunning weakness in the labor market.

He responded by firing the commissioner of the Bureau of Labor Statistics (BLS) for what he called politically motivated revisions that lobbed off hundreds of thousands of job gains earlier this summer.

The dismal jobs report raised serious questions about the strength of the U.S. economy, especially in light of looming tariffs causing anxieties in the global market.

Here are the five big questions facing Trump as he faces the fallout.

How much worse does it get?

After months of warnings from economists and weakening data from the private sector, federal jobs numbers have caught up to the concern.

The July jobs report dramatically changed the picture of the U.S. economy, ramping up concerns fueled by Trump’s tariffs and the uncertainty they unleashed.

The U.S. added only 73,000 jobs in July and just 106,000 jobs since May — a three-month total barely enough to sustain the labor market for one month.

“Not only was this a much weaker than forecast payrolls number, the monster downward revisions to the past two months inflicts a major blow to the picture of labor market robustness,” Seema Shah, chief global strategist at Principal Asset Management, wrote in an analysis.

“More concerning is that with the negative impact of tariffs only just starting to be felt, the coming months are likely to see even clearer evidence of a labor market slowdown.”

The U.S. economy needs to add 80,000 to 100,000 jobs each month just to replace those who leave the workforce for retirement or incapacity. Without a significant turnaround, the........

© The Hill