The U.S. created only 44,000 jobs in July, far from expectations

WHAT HAPPENED

Private companies in the U.S. created 44,000 jobs in July, compared to the expected 75,000. The June figure was revised down from 98,000 to 95,000, and July was the worst since January.

WHY IT MATTERS

Hiring is cooling: health and education contributed 36,000 positions, but transportation and commerce lost 8,000, mining 6,000, and manufacturing and construction also cut back. Fewer new jobs may slow consumption and investment in the U.S., affecting exports and exchange rates in Mexico and Brazil.

AND FOR YOUR PORTFOLIO

For a long-term portfolio, this points to a more cautious U.S. economy: sectors linked to consumption, manufacturing, and commerce may feel less demand. The 4.4% wage increase for those who keep their jobs still supports the spending of many families.