The Azerbaijan State News Agency


US economy adds 175K jobs in April, falling short of expectations

US economy adds 175K jobs in April, falling short of expectations

Baku, May 4, AZERTAC

The U.S. economy added 175,000 jobs and the jobless rate ticked higher to 3.9 percent in April, Hill reported citing Labor Department data released Friday.

After several hotter-than-expected jobs reports, April’s employment gains fell short of economists’ expectations of 240,000 new jobs and a 3.8 percent unemployment rate.

The latest job report comes days after a Federal Reserve committee voted to hold off on cutting interest rates, which have sat at a range of 5.25 percent to 5.5 percent — the highest in 23 years — since last July.

While the move was widely expected, an uptick in inflation and other strong economic indicators have shifted the central bank’s rate cut timeline further into the future. Most traders don’t expect the Fed to start cutting rates until September, according to the CME FedWatch Tool, which lurched briefly to November on Wednesday.

“The slower jobs report will be welcome news to the Federal Reserve and signals that interest rate hikes are impacting a labor market that has been extremely resilient over the past few years,” said Joseph Gaffoglio, president of Mutual of America Capital Management.

“The Fed clearly stated that it is taking a cautious approach on the timing of any interest-rate cuts to ensure that inflation is well contained, and this could lead to continued pressure on the jobs market in the months to come.”

In explaining its decision to hold interest rates steady, the Federal Open Markets Committee (FOMC), which is tasked with setting monetary policy, said there was a “lack of further progress” in getting inflation back to 2 percent.

Prices were up 3.5 percent in March from a year ago, according to the most recent consumer price index (CPI), creeping further away from the Fed’s goal than it was at the end of last year, when the central bank signaled rate cuts in 2024.

“It is likely that gaining such greater confidence will take longer than previously expected,” Fed Chair Jerome Powell said.

Strong jobs gains are a positive point for Biden, who is grappling with negative ratings on the economy and inflation. But the slight slowdown in April could eventually give the Fed more room to cut rates and curb a source of economic angst for Americans.

High interest rates have ramped up borrowing costs for Americans, particularly those with credit card debt, a mortgage or a car payment. Household debt also topped $17 trillion during the fourth quarter of 2023, and delinquency rates were on the rise, according to the New York Fed’s Quarterly Report on Household Debt and Credit.

Just 34 percent of voters approve of how Biden has handled the economy, and 29 percent approve of his handling of inflation, according to a recent CNN poll. He’s also trailing former President Trump, the presumptive

Republican presidential nominee, who voters perceive would do a better job with the economy than Biden.

As the 2024 election season ramps up, so has scrutiny of the Fed and its interest rate policy.

Progressive Democrats have pressed the Fed to start bringing down interest rates, which they say are burdening the average American and exacerbating income inequality and the housing crisis.

But Trump has suggested Powell would cut interest rates to benefit Democrats in the upcoming election. Although he nominated the lifelong Republican during his first term, Trump publicly accused Powell in 2018 of raising interest rates to hurt the economy and has said he would not reappoint Powell if he wins the White House in November.

But the Fed is politically independent and does not consider politics in its decisionmaking process, Powell stressed to reporters Wednesday.

“Read all the transcripts and see if anybody mentions in any way the pending election. It just isn’t part of our thinking; it’s not what we’re hired to do. If we start down that road, again, I don’t know how you stop it,” Powell said.

Share news on social media

Follow us on social network

Students of Baku Higher Oil School win ‘Innovative Methods in Education Development II’ competition

Ariane 6 launch scheduled for the first half of July

Indiana Pacers lament Game 1 overtime loss to Boston Celtics

Kazakhstan suggests setting up int’l Aral Sea dried bottom afforestation center

Academician Nargiz Pashayeva: At times, historical errors were made, and some manuscripts were catalogued under incorrect addresses

Turkish MPs informed about "ASAN Xidmet" center

UNESCO: Our relationship with nature and with other living beings needs a radical rethink

ADA University hosts workshop on COP29

Azerbaijan’s Minister of Science and Education holds meetings during Education World Forum

Turkish delegation visits Alley of Honors, Alley of Martyrs and "Turkish Martyrdom" monument

Professor Edmund Herziq: Nizami Ganjavi unified catalogue will be published in three languages

International Booker Prize 2024: German win for Kairos

Leyla Aliyeva holds meetings at United Nation’s office in Switzerland

Azerbaijan`s Prime Minister to visit Iran

® Shahin Bagirov meets with Caspian Energy Club members

Oil prices fall in global markets

Azerbaijani oil price down in global markets

Release of the Press Service of the President

“International Policy Digest” publication highlights lasting peace opportunities in South Caucasus

Monkeys are dropping dead from trees in Mexico as a brutal heat wave is linked to "mass deaths"

2nd Azerbaijan-Uzbekistan Interregional Forum features signing of bilateral documents

Azerbaijani wrestler crowned European champion in Baku

“Nizami Ganjavi Manuscripts Union Catalogue and Database” project presented to scientific community

Northern Cyprus’ PM meets Azerbaijani, Turkish Ombudspersons

Azerbaijani FM, Acting Foreign Minister of Iran hold phone talk

Turkish Airlines resumes Afghanistan flights after 3-year hiatus

Biden denounces ICC for ‘outrageous’ implication of equivalence between Israel and Hamas

Azerbaijan poised to host 2025 Minifootball World Championship

Scarlett Johansson takes on OpenAI over chatbot voice

Northern Cyprus' President receives Azerbaijani and Turkish Ombudspersons

First Vice-President Mehriban Aliyeva congratulated judoka Hidayat Heydarov on winning world championship title

Landmine blast kills one in Azerbaijan’s Tartar district

Azerbaijan hosts inauguration of first Professional Chovgan League

Azerbaijani, Turkish ombudspersons visit Parliament of Northern Cyprus

Afghanistan floods affect over 30,000 since year-start: UN

UN: Azerbaijan’s hosting of COP29 is an important achievement for the country

Azerbaijan’s Economy Minister: We invite our Uzbek colleagues to participate in COP29

Azerbaijan Railways delegation embarks on visit to China

Azerbaijani U13 table tennis players to vie for European medals in Romania

Cuba declares one day of public mourning over Raisi martyrdom

Russia ready to help Iran investigate Raisi’s helicopter crash, Shoigu assures

Azerbaijan’s Minister of Science and Education holds bilateral meetings as part of Education World Forum

Azerbaijan, Tajikistan discuss cooperation opportunities

SCO foreign ministers observe moment of silence over death of Iranian President

AzerGold releases gold coin collection featuring Icherisheher monuments

Central Bank: $80m worth of demand fully covered at FX auction

Schools in Pakistan's Punjab to remain closed for 7 days amid heat wave

® Bakcell CEO met students of the Heydar Aliyev Modern Educational Complex

President Ilham Aliyev visited Embassy of Iran in Azerbaijan, offered his condolences over the death of the Iranian President and other individuals in helicopter crash

President Ilham Aliyev received Minister of Investment, Industry and Trade of Uzbekistan

8 killed in road accident in central Peru

Czech Republic records nearly 15,000 cases of pertussis, 6 die

® Advantegous offers continue for those transferring their loan obligations to Kapital Bank

Defense Ministry: Another tasks fulfilled at EFES - 2024 multinational exercise

Google invests 1 billion euros in Finnish data centre to drive AI growth

UN: Secretary-General is closely following normalization process between Armenia and Azerbaijan  - EXCLUSIVE

U.S. regulator ends prelim review of Tesla's Model X over seat belt issues

® Azerconnect Group actively engaged in Business Forum held within COP29

Azerbaijani oil price surges in global markets

Oil prices fall in global markets

Iranian presidential election to be held on June 28 after deadly helicopter crash

Türkiye to observe day of national mourning for Iran's Raisi

Another Azerbaijani wrestler advances to final of European championships

Azerbaijani, Georgian foreign ministries hold political consultations

Hidayat Heydarov crowned world champion VIDEO

Release of the Press Service of the President

Eruption of Indonesia's Mt Ibu forces seven villages to evacuate

President Ilham Aliyev appoints Shahin Bayramov as rector of Karabakh University

1st Black astronaut candidate waits 60 years to break record as oldest space traveler at 90

bp developing inclusive teaching skills for primary schools in Azerbaijan

Baku hosts inauguration of U23 European Championships 2024

Azerbaijan’s Minister of Science and Education attends Education World Forum in London

Azerbaijani judokas win 6 medals in Malaga

Speaker of Azerbaijan’s Milli Majlis offers condolences to Speaker of Islamic Consultative Assembly of Iran

® Baku Steel Company CJSC signs MoU on mutual cooperation with government agency of Tajikistan

Julian Assange's wife urges United States: Cease deplorable attack on journalism!

Azerbaijan’s Central Bank issues new metal coins into circulation

Azerbaijan, Latvia discuss COP29 preparations

Azerbaijani, Turkish Ombudspersons to visit Lefkosa city

18 dead as pick-up vehicle overturns in Chhattisgarh's Kabirdham

Julian Assange wins High Court victory in case against extradition to US

Comet fragment lights up sky over Spain and Portugal 'like a movie'

“Model OIC – 2024” program focuses on COP29

Smoking kills 6,700 people in Laos annually

Azerbaijan joins international cultural festival in China

Azerbaijan Army holds graduation ceremony of Reserve Officer Training Course VIDEO

Azerbaijani judoka advances to final of 2024 World Championships in UAE

Azerbaijani karate fighters bring home eight medals from Slovenia

China sanctions Boeing, two U.S. defense contractors for Taiwan arms sales

Azerbaijani gymnasts triumph in Maia FIG ACRO World Cup

Foreign Ministry: Azerbaijan supports “One China” policy and does not recognize independence of Taiwan

‘Latvia commends Azerbaijan’s peace efforts in the region’

President Ilham Aliyev received delegation led by Speaker of Latvian Saeima VIDEO

Azerbaijan’s artillery units end live-fire tactical exercise, Defense Ministry

Three Azerbaijani wrestlers reach semifinal of European Championship in Baku

Azerbaijan`s Prime Minister extends condolences to Iran`s First Vice President

Tajikistan increased volume of cargo transportation through Middle Corridor by 86 percent in 2024, says minister

Azercosmos, Esri Global ink Memorandum of Understanding

® Kapital Bank's cash loan lottery: winners of first draw revealed and exciting prizes await

Xi expresses condolences over Iranian President Raisi's death