5 Top Economists React To July’s Job Data: Insights On Labor Market Slowdown And Its Impact On Fed Policy

The July performance of the U.S. labor market has caught the attention of economists as they evaluate its implications for the Federal Reserve’s future actions.

Non-farm payrolls showed a gain of 187,000 jobs in July, falling short of the expected 200,000, while June’s figure was revised down to 185,000. This points to a slowdown in the pace of new job creation in the economy. However, there was a pleasant surprise as the unemployment rate dropped back to 3.5%.