Trump Fires Top Labor Stats Chief After Weak Jobs Report, Markets Stagnate

President Donald Trump fired Bureau of Labor Statistics Commissioner Erika McEntarfer on Friday, just hours after a weak jobs report, highlighted the slowest hiring pace since 2020. The move followed GDP data showing that U.S. growth slowed to 1.2% in the first half of 2025, down from 2.8% the previous year, and the introduction of new tariffs on nearly 70 countries. Some analysts warned of a possible recession, while others raised concerns over the political independence of economic data.

16th Commissioner of the Bureau of Labor Statistics Erika McEntarfer.

Markets mostly shrugged. Since the GDP report, the Nasdaq is up 0.4%, the S&P 500 is down 0.6%, and the Dow is off 1.4%, all still well above May levels. Strong corporate earnings, hopes for Federal Reserve rate cuts, and expectations that Trump will not restore earlier steep tariffs have kept sentiment upbeat.

The jobs report showed just 35,000 jobs added monthly over the past three months, down from 128,000 prior. Trump accused McEntarfer, a Biden appointee confirmed in 2024, of manipulating the numbers without evidence. McEntarfer called her service “the honor of my life” and praised the BLS staff.

Markets dipped on the jobs news but quickly rebounded, boosted by big tech earnings and steady consumer spending. Analysts say that if growth stalls further, Fed rate cuts could provide stocks with another lift.