US Jobs Growth Revises Down Sharply Indicating Economic Slowdown

The July 2025 U.S. jobs report revealed a weaker-than-expected gain of 73,000 jobs, falling short of the 110,000 forecast, while the unemployment rate held steady at 4.2%. Economists and analysts attribute this slowdown partly to the uncertainty caused by President Trump's unpredictable tariff policies, which have disrupted business investment decisions and contributed to an economic slowdown reflected in revised payroll data. The report also included significant downward revisions for job growth in May and June, indicating that over a quarter-million fewer jobs were added than initially reported, raising concerns about the potential for an approaching recession. Some commentators suggest that recent trade victories by President Trump with Europe, Japan, and the UK may help stabilize the situation, but the bifurcated economy and the Federal Reserve's tightening measures continue to challenge average households and small businesses. Meanwhile, experts emphasize that the revisions highlight how tariff-induced uncertainty, rather than tariffs alone, has dampened economic growth and job creation. The overall picture suggests that while the economy shows resilience, underlying weaknesses and policy uncertainties warrant attention.