U.S. Private Sector Hiring Slowed Sharply In August, 10-Year Treasury Yield Dropped to 4-Month Low

Barry Adams
04 Sep, 2025
New York City

Wall Street indexes lacked direction as investors reviewed the release of jobs data amid heightened uncertainties about the U.S. trade policy.

The S&P 500 index edged up 0.1%, and the tech-heavy Nasdaq Composite inched lower 0.2%, as focus on Wall Street shifted to labor market data. 

U.S. labor market expansion has slowed sharply over the last three months, and independent retailers and logistics businesses struggle amid erratic U.S. trade policy.

Moreover, farmers are struggling to sell corn, soybeans, and wheat after the Trump administration's sharp escalation in tariffs pushed Brazil to seek more agricultural goods from South America.

Farmers in Arkansas, Idaho, Iowa, Kansas, and Nebraska are facing bankruptcy after China halted placing new orders for farm goods and the U.S. ended its USAID program. 

Private businesses expanded payrolls by 54,000, sharply lower than 104,000 in July, according to a report released by ADP.

In the past, the ADP data has been volatile and has been less reliable than the broader nonfarm payroll report released by the U.S. Bureau of Labor Statistics. 

The U.S. economy added 73,000 net new jobs in August, and the net job additions were sharply revised lower for the months of May and June.

Investors are increasingly worried about the rapidly cooling jobs market, as businesses deal with constantly shifting U.S. trade policy and lack of clarity on the Trump administration's tariff. 

Goods shipments from China are attracting import taxes of about 45%, and those from Brazil and India are now taxed at 50%. 

In addition, goods from Mexico, Canada, and Japan face about 25% tariffs. 

The Trump administration asked the U.S. Supreme Court for a quick decision after two courts deemed the sweeping tariffs on all imports imposed by the U.S. president as illegal. 

 

U.S. Stock Movers 

ConocoPhillips decreased 0.2% to $94.50, and the energy company announced its plans to cut 20% of its staff by the end of the year. 

Salesforce Inc. dropped 7.2% to $238.06, and the cloud-based customer data management software company's second-quarter adjusted earnings surpassed expectations. 

However, the company's third-quarter revenue outlook between $10.24 billion and $10.29 billion fell short of market expectations. 

American Eagle Outfitters soared 23.5% to $16.86, and the apparel retailer reported better-than-expected fiscal second-quarter earnings per share of 45 cents on revenue of $1.28 billion.