U.S. job growth in September slows more than expected one month before midterms — SkimNews
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- U.S. employers added 29,000 jobs in September, well below the 90,000 economists expected, as the unemployment rate rose to 4.2% from 4.1% in the final jobs report before the November 3 midterms.
- Federal, state, and local governments cut 17,000 jobs last month, and healthcare hiring slowed to 17,000 — half the 33,000 monthly average — with Capital Economics linking the slowdown to the Trump administration's revocation of work authorizations for 350,000 Haitians.
- Average hourly wages rose 3% year-over-year, the smallest gain since May 2021, and Wilmington Trust chief economist Luke Tilley said the data shows 'no sign that the labor market is stoking inflation.'
- The Federal Reserve, whose officials had been focused on fighting inflation, may now hold its key rate steady at next month's meeting as the weaker labor market draws attention back to hiring.
- An AP-NORC poll found just 17% of U.S. adults approve of Trump's handling of cost of living and 26% approve of his economic stewardship — a new low — while Conference Board consumer confidence fell to its lowest in more than a decade.
- Glassdoor's employee confidence index dropped to a record low for the third time this year, reflecting a 'low-hire, low-fire' labor market in which jobseekers struggle but layoffs remain rare.
- The break-even rate for job growth may now be near zero — down from roughly 150,000 a year or two ago — because baby boomer retirements and Trump's immigration crackdown have shrunk the pool of workers competing for jobs.
Why it matters: This is the final jobs report before the November 3 midterms, and it lands alongside record-low consumer confidence and just 17% approval of Trump's cost-of-living handling. Weaker hiring may give the Fed cover to hold rates steady, but it also hands voters a fresh data point on an economy they overwhelmingly feel is failing them — straight into the closing days of the campaign.
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