Job growth has slowed sharply since the spring, with the latest employment report showing significant downward revisions in May and June. The slowdown appears to be due to a combination of factors, including policy changes such as higher tariffs and reduced immigration. The revisions in the employment data were large but followed standard procedures, with new data collection and updated seasonal factors contributing to the adjustments. The slowing job growth reflects more than just weaker demand, with reduced labor supply playing a key role. Wage growth has remained firm, suggesting that the slower job growth may be more related to supply factors than weakening demand. Fed officials have varying reactions to the data, with some seeing a gradual cooling of the labor market but still in a solid place, while others express concerns about further softening in the job market.

Read more at Investing.com: Wage Growth Holds Up Despite Jobs Slump: What Is the Fed Really Seeing?