In April 2025, the US economy showed surprising resilience by adding 177,000 jobs, outperforming expectations of 130,000 jobs. However, this figure marked a decline from March’s reported 185,000, as revised from an initial 228,000. The unemployment rate remained steady at 4.2%.
Investors reacted positively to this employment data, leading US stock markets to open higher, with the tech-heavy Nasdaq up by 1.1%, and both the Dow Jones and S&P 500 also showing gains. This optimism was further bolstered by hopes of improving US-China trade relations following conciliatory remarks from the Chinese government regarding dialogue with the US.
Meanwhile, the UK’s FTSE 100 index closed at a new record, completing its longest-winning streak of 15 days, reflecting a recovery from the market turmoil earlier in April caused by trade war fears. It ended up 1.17% at 8,596 points, nearly recovering all losses experienced after the announcement of tariffs by the Trump administration.
In corporate news, Amazon’s founder Jeff Bezos announced plans to sell up to $4.75bn of Amazon stock. Meanwhile, TikTok faced a €530 million fine by the Irish Data Protection Commissioner for failing to adequately protect EU users’ data from potential Chinese access.
Additionally, the UK’s Financial Conduct Authority is contemplating restrictions on borrowing to invest in cryptocurrencies to safeguard consumers from potential financial distress.
Overall, while the US job market showcased strength, concerns linger over the ongoing trade tensions and their impact on future economic conditions.