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The rise in U.S. employment numbers in April exceeded expectations.
On May 2, U.S. job growth was strong in April and the unemployment rate remained steady, suggesting that uncertainty over Trump's trade policy has yet to have a significant impact on hiring plans. Data released Friday by the Bureau of Labor Statistics showed that nonfarm payrolls rose by 177,000 in April after the previous two months' data were revised downward. The unemployment rate remained unchanged at 4.2%. The report suggests that the labor market continues to cool gradually, suggesting that businesses are facing high levels of uncertainty about tariffs and financial market turmoil, but have not significantly changed their hiring plans. Most economists expect the impact of the punitive levy to be felt in the coming months. Job growth in April was broad-based, with healthcare, transportation, and warehousing leading the way in job growth. Manufacturing employment fell as the sector's output contracted its biggest since 2020. The federal government lost jobs for the third month in a row. The employment participation rate rose to 62.6% in April. The unemployment rate for people aged 25 to 54, also known as prime-age workers, rose to a seven-month high. Economists widely expect layoffs to increase in the coming months as economic uncertainty halts expansion plans. ( gold ten )