by Patrick Glynn 
The U.S. economy added 73,000 jobs in July 2025, according to the Bureau of Labor Statistics. Within the report, job gains were revised down by over 120,000 each of the previous two months. May gains were revised down from 144,000 to 19,000, and June was revised down from 147,000 to 14,000. This moves the average job gains per month in 2025 to 85,000—about half of 2024’s average.
The jobs report comes two days after the Federal Reserve decided to keep interest rates at the same level they’ve been at since the start of the year.
“The unemployment rate remains low, and labor market conditions remain solid,” the Fed said in a statement, followed by saying, “Inflation remains somewhat elevated.”
“The Committee is strongly committed to supporting maximum employment and returning inflation to its 2% objective.”
A day after the Fed’s decision, the Personal Consumption Expenditures (PCE) index—the Fed’s preferred measure of inflation—reported another increase year-over-year from May to June, with core PCE (excluding the cost of food and energy) at 2.8%. PCE including food and energy was 2.6% year-over-year. It’s the third month in a row the inflation measure has rose.
The Fed plans to meet again September 16-17 to decide whether to cut, increase, or maintain interest rates.
Other economic data released over the last month includes:
- The unemployment rate in July ticked up to 4.2%.
- Layoffs and discharges remained at the same rate (1.0%) and around the total number (1.6 million) from May to June.
- The Consumer Price Index, like PCE, rose again to 2.7%. Core CPI rose to 2.9%.
- Wages increased 3.9% year-over-year.
- The industries with the largest job gains in July include:
- Healthcare (+55,000 jobs)
- Social assistance (+18,000)
- Retail (+15,700)
- New (218,000) and continuing jobless claims (1.95 million) remained at similar levels across each week in July.
by Emilie Skaug 
by Mercedes Draffin 
