Job creation exceeds forecasts for April

U.S. job creation rose more than expected in April, while the unemployment rate remained unchanged, despite the uncertainty generated in the markets by the government's tariff and negotiating policy.

Since returning to power in January, President Donald Trump has taken steps to reduce the number of public workers and embarked on a trade war.

The world's largest economy added 177,000 jobs last month, down slightly from 185,000 in March, the Labor Department said in a statement Friday.

Job creation remained well above analysts' consensus of 130,000, according to Briefing.com.

The unemployment rate remained at 4.2%, in line with expectations.

Sectors such as health care, transportation and warehousing, financial activities, and social assistance accounted for much of the hiring.

Shortly after the release of the data, Trump took to Truth Social to highlight the "strong" employment numbers.

"Just like I said, and we’re only in a TRANSITION STAGE, just getting started!" he wrote.

"NO INFLATION, THE FED SHOULD LOWER ITS RATE!" added Trump, a supporter of the Fed lowering interest rates.

The independent central bank has kept its key interest rate between 4.25% and 4.50% for months. Its goal is to reduce inflation to its long-term target of 2%.

Federal government employment declined, however, by 9,000 positions in April, bringing the total number of government employees down by 26,000 since January, according to the Labor Department.

The Trump administration is facing a series of court challenges for attempting to lay off tens of thousands of government workers as part of a cost-cutting campaign.

The average hourly wage rose 0.2% to $36.06 in April, the Labor Department reported.

"Markets breathed a sigh of relief this morning as the jobs data came in better than expected," Chris Zaccarelli, chief investment officer at Northlight Asset Management, wrote in a note to clients.

"While recession fears are still simmering on the back burner, the buy-the-dip dynamic can continue -- at least until the tariff pause runs out," he added, referring to Trump's decision to pause higher tariffs on dozens of trading partners until July.