Moneycontrol
HomeNewsBusinessMarketsTrump fires data chief on bad job news, gets chance to tilt US Fed
Trending Topics

Trump fires data chief on bad job news, gets chance to tilt US Fed

Trump fired the head of the Bureau of Labor Statistics, hours after it sent markets tumbling with a report that showed a dramatic slowdown in US hiring

August 03, 2025 / 08:28 IST
Story continues below Advertisement
US President Donald Trump

President Donald Trump got some bad economic news Friday, and responded by ousting the messenger.

Trump fired the head of the Bureau of Labor Statistics, hours after it sent markets tumbling with a report that showed a dramatic slowdown in US hiring. It’s an escalation of his campaign against economic institutions long held to be above partisan politics —  one that until now has principally targeted the Federal Reserve.

Story continues below Advertisement

And Trump got an unexpected opportunity that same afternoon to exert more influence at the central bank too, when Governor Adriana Kugler announced her imminent resignation, just as investors were still digesting the jobs numbers and the BLS news. He’ll now get to name a replacement, likely one who’s inclined to support his drive for lower interest rates.

For a president who touts a hot US economy, and claims his tariff hikes and tax cuts will make it stronger still, Friday’s job numbers were a setback. They revealed the weakest employment growth since the pandemic. But his reaction – sacking BLS chief Erika McEntarfer, whom he accused without evidence of political bias – drew condemnation even from economists linked to his own party, and it’s anxiety-inducing for investors, too.