U.S. Adds 177,000 Jobs; Market Reacts Positively

The U.S. economy added 177,000 jobs in April, exceeding economist forecasts of 130,000-135,000, while the unemployment rate held steady at 4.2%. Private sector job gains totaled 167,000, and the labor force participation rate edged up to 62.6%. The average workweek expanded, reflecting increased employer demand. Despite concerns over President Trump's trade tariffs and a shrinking GDP in Q1 2025, hiring remained strong, though consumer sentiment declined and risks of recession and inflation grew. Financial markets reacted positively, with the S&P 500 and U.S. dollar both rising. Experts caution that it is too early to gauge the full effects of trade policies, but April's data indicates continued labor market momentum.