🚨258,000 Jobs Vanish: Powell’s ‘Strong Labor Market’ Narrative Collapses

📉 Weak U.S. Jobs Report Shocks Markets

July’s U.S. nonfarm payroll data just flipped the script — and it’s not pretty.

📊 Payrolls Added: Just 73,000

Economists expected 100,000 jobs — already a weak figure. But July underperformed even that low bar.

Worse yet, previous months got slashed:

🔻 June: Revised from 147,000 → 14,000

🔻 May: Revised from 144,000 → 19,000

That’s 258,000 jobs erased — vanished from the books, equivalent to the entire population of Scottsdale, AZ.

Meanwhile, unemployment ticked up to 4.2%, exactly as forecast — but still rising. This directly contradicts Fed Chair Jerome Powell’s comments just two days ago, claiming the labor market remains “strong.”

💥 Not anymore.

📉 Markets React Fast: September Rate Cut Almost Certain

Wall Street wasted no time. As the data hit:

🔹 CME FedWatch Tool: September rate cut odds surged from 40% → 75.5%

🔹 Kalshi Markets: Matching expectations at 75% probability of a cut

🔹 Bond Yields:

 • 2-year yield dropped 15 bps to 3.80%

 • 10-year yield fell 8 bps

💬 These are strong signals: markets are bracing for a Fed pivot.

Two Takeaways:

1️⃣ The labor market is quietly slipping into recession.

2️⃣ Or the BLS data is so flawed it missed a quarter million jobs.

Neither is bullish. One spells pain. The other signals chaos.

🗣 Bonus: Trump Slams Powell

Former President Donald Trump jumped in via Truth Social, mocking the Fed Chair:

“Too Little, Too Late. DROP THE RATE! The good news is that Tariffs are bringing Billions of Dollars into the USA!”

— Donald J. Trump

💬 Trump dubbed him: “Jerome ‘Too Late’ Powell”

🪙 Market Impact: Watch These Tickers

$DXY – Dollar under pressure

$GOLD – Eyeing breakout amid policy uncertainty

$BTC / $ETH – Potential upside if rate cut talk strengthens

$TRUMP – Meme market reacts:

 > TRUMPUSDT Perp: 8.589 (-3.22%)

📉 Powell’s credibility took a direct hit — and the market knows it.

September just became a high-stakes moment for the Fed.