U.S. Economy Shows Mixed Signals with Weaker September Jobs Growth and Upwardly Revised Q2 GDP

The U.S. economy added a significantly lower-than-expected 29,000 jobs in September, with the unemployment rate ticking up to 4.2% from 4.1% in August. This weaker labor market data has reduced expectations for an immediate Federal Reserve rate hike. Conversely, U.S. real GDP growth for Q2 2026 was revised upwards to an annualized 2.2% from the prior estimate of 1.5%, primarily driven by higher investment and consumer spending.