WASHINGTON, D.C. — The U.S. Bureau of Labor Statistics (BLS) has reported that U.S. employment growth totaled 73,000 in July, falling below the 100,000 figure projected by Dow Jones economists, according to CNBC. May and June totals were also significantly revised downwards by a combined 258,000 from previous months’ totals. The BLS revised May job growth down from +144,000 to +19,000, and June from +147,000 to +14,000. The unemployment rate rose slightly to 4.2 percent, and the number of unemployed people — at 7.2 million — also showed little change from June.
Nearly all job growth in July came from the healthcare and social assistance sectors, accounting for roughly 94 percent of the gains. Healthcare contributed 55,000 jobs, including increases in ambulatory healthcare services (+34,000) and hospitals (+16,000). Social assistance employment provided 18,000 jobs, reflecting continued growth in individuals and family services (+21,000).
Retail added nearly 16,000 jobs, while the financial sector was increase by 15,000 jobs.
Meanwhile, federal government employment continued to decline in July (-12,000) and is down by 84,000 since reaching a peak in January before Elon Musk’s Department of Government Efficiency (DOGE) began reallocating job scopes and duties.
There was little change in employment over the month in other industries, including mining, quarrying, oil-and-gas extraction, construction, manufacturing, wholesale trade, transportation, warehousing, information, financial activities, professional and business services and leisure and hospitality.
The Federal Open Markets Committee (FOMC) maintained the federal funds rate at a target range of 4.25 to 4.5 percent at its July meeting. The July jobs report could provide incentive for the Federal Reserve to lower interest rates when it next meets in September. Following the report, futures traders raised the odds of an interest rate cut at the meeting to 75.5 percent, up from 40 percent, according to CNBC citing CME Group data.