Disappointing jobs report under first month of Trump’s term: Is this a warning sign for US economy? – The Times of India

The US economic system added 151,000 jobs in February, falling brief of economists’ expectations of 170,000, in keeping with authorities knowledge launched Friday. It marked the first full month under President Donald Trump, providing an early glimpse into how his financial insurance policies are enjoying out within the labor market ABC information reported.
A combined jobs image
Whereas hiring picked up from January, it remained barely under final 12 months’s month-to-month common. The unemployment price inched as much as 4.1%, nonetheless close to historic lows. Job good points have been seen in well being care, social help, and finance, however the federal authorities shed 10,000 jobs—a potential consequence of Trump’s push to shrink forms.
Regardless of the softer-than-anticipated report, Wall Avenue confirmed little concern. The Dow, S&P 500, and Nasdaq all noticed early good points on Friday, recovering some floor misplaced earlier within the week amid market jitters over Trump’s aggressive tariff insurance policies.
Tariffs and inflation loom over economic system
The jobs report comes throughout a unstable financial stretch. Trump’s newly imposed tariffs have unsettled buyers, with markets plunging Thursday earlier than staging a partial restoration. Although the administration walked again some tariffs, uncertainty stays.
In the meantime, inflation continues to problem customers. Costs rose 3% in January in comparison with a 12 months in the past, exceeding the Federal Reserve’s 2% goal. Egg costs—a intently watched inflation indicator—soared 53% resulting from fowl flu-associated provide shortages.
Client confidence shaken
A February report from the Convention Board revealed the biggest drop in client confidence since August 2021, with extra Individuals fearing a recession. A rising quantity anticipate a weaker job market, a falling inventory market, and rising rates of interest within the coming months.
Nonetheless, there have been brilliant spots. Mortgage charges have fallen for seven straight weeks, dropping to six.63% for a 30-12 months fastened mortgage—the bottom since December. Extra Individuals are contemplating house purchases, signaling cautious optimism amid financial uncertainty.
What’s subsequent?
With Trump’s insurance policies—together with spending cuts, federal job reductions, and tariffs—taking form, future job stories shall be intently watched. The president has made financial progress a key focus, however whether or not his method will maintain sturdy hiring stays an open query.