Overview

• The U.S. economy added 177,000 jobs in April, surpassing forecasts of 130,000, while the unemployment rate held steady at 4.2%.
• Healthcare, transportation, and warehousing sectors saw significant job gains, while manufacturing employment declined by 1,000 jobs.
• Federal government employment fell by 9,000 jobs in April, contributing to a total loss of 26,000 federal positions since January under cost-cutting measures by the Department of Government Efficiency.
• Average hourly wages grew by 0.2% in April, maintaining an annual growth rate of 3.8%, though economists caution inflationary pressures may rise.
• Economists anticipate that the delayed effects of sweeping tariffs and federal workforce reductions could slow job growth and consumer spending in the latter half of 2025.