US economy loses 23,000 jobs in July

The US economy lost 23,000 jobs in July, contrary to expectations for an increase of 83,000 jobs, while the unemployment rate edged down to 4.1%, according to data from the Bureau of Labor Statistics.

 

The education sector shed 50,000 jobs last month, while employment in retail declined by 19,000 jobs. The financial activities sector also lost 14,000 jobs, while healthcare added 22,000 jobs.

 

Meanwhile, the Bureau revised down its estimates for job growth in the previous two months. May’s figure was revised to 63,000 jobs from 129,000 previously estimated, while June’s figure was revised to 20,000 from 57,000.

 

The data point to weakness in the US labor market, which could prompt the Federal Reserve to avoid tightening monetary policy. This could support gold prices and Wall Street, while putting pressure on US Treasury yields.

 

US Monthly Employment Report (July 2026)

 

Expectations

June

July

Change

Nonfarm payrolls (‘000)

83

20

(23)

—

Unemployment rate (%)

4.2

4.2

4.1

(0.1)

Average hourly earnings (USD)

—

37.64

37.62

(0.02)