The U.S. economy added a disappointing 130,000 jobs in August, the Labor Department said Friday, heightening fears that President Trump’s trade war is starting to bite.
The jobs report has taken on greater significance as concerns grow that the U.S. economy has entered a rough patch. Economists had predicted 160,000 job gains in August, but anemic hiring in manufacturing, mining, truck driving and retail — industries that are most directly affected by the trade war — helped drag employment gains down this summer.
The slowdown in hiring comes as broader economic growth has cooled this year. The manufacturing sector is in a recession, and businesses have stopped spending, largely as a result of headwinds from abroad and Trump’s trade battles. But the U.S. economy is driven primarily by consumer spending, and so far, that remains strong as workers continue to get pay raises and see “we’re hiring” signs out in front of many businesses.
Consumer Confidence Is Likely To Determine Whether There’s a U.S. Recession
