8 May 2026
If you are covering the latest employment situation summary in the US, please find below a comment from Jonathan Raymond, investment manager at Quilter Cheviot:
“Once again, the US economy has shown its resilient side, adding 115,000 jobs in April. This is comfortably above the expectations of 65,000 the market expected and with March’s figure also revised upwards, this has clearly been a strong month for the US economy in the face of an increasingly uncertain geopolitical situation.
“The labour market is not without its challenges, however. Wage growth was slightly subdued compared to expectations at 3.6%, while revisions in February were somewhat negative. But ultimately, the US economy continues to trundle on despite more recent volatile jobs numbers, although how long this position lasts in the face of higher inflation remains to be seen.
“In the short-term, it puts interest rate cuts this year on the back burner, even with President Trump’s man, Kevin Warsh, soon to be coming in. Trump wants the economy running hot into the mid-term elections later this year, but a consequence of this means inflation remains elevated and rate cuts look difficult to achieve. This will act as a brake on growth going forward, although demand continues to be created thanks to the US being the global hub for artificial intelligence. Trump will be pleased with these jobs numbers and hope they can remain elevated as November’s elections come into view.”
