Unemployment rate near 4-year high as labor market hits stall speed

U.S. job growth weakened sharply in August and the unemployment rate increased to nearly a four-year high of 4.3%, confirming that labor market conditions were softening and sealing the case for a Federal Reserve interest rate cut later this month. The Labor Department’s closely watched employment report on Friday also showed the economy lost jobs in June for the first time in four and a half years, fanning fears of economic stagnation. Job growth has slowed since April, with economists blaming President Donald Trump’s policies, mainly tariffs on imports, an immigration crackdown and mass firings of public workers.