Weak Job Growth Persists: Fed Warns of Inflation and Unemployment Risks

Job Market Recovery Shows Little Momentum

The latest U.S. employment report highlights a continued lack of strength in hiring activity. Employers added just 50,000 jobs last month, signaling weak labor demand and limited business confidence. Although the unemployment rate dipped slightly to 4.4%, underlying trends suggest ongoing fragility in the job market.

Fed Officials Flag Dual Economic Threats

A senior central bank figure noted that while the balance between job growth and labor supply remains stable, it’s far from robust. He stressed the need for policymakers to remain vigilant against both persistent inflation and rising unemployment risks.

• Inflation has remained above target for nearly five years
• Unemployment has trended upward over the past 12 months
• Slow labor force expansion limits economic resilience

Even though inflation has improved from its peak, it's still not fully under control. The economy is navigating a delicate phase where monetary policy must balance price stability with labor market health.