The United States added a modest 64,000 jobs in November, a rebound from the 105,000 jobs lost in October, as reported by the Labor Department. This job gain marks a significant slowdown in hiring momentum, with the unemployment rate climbing to 4.6%, the highest level since 2021. The delayed report, attributed to the recent federal government shutdown lasting 43 days, highlights the ongoing challenges facing the labor market.
The job losses in October were largely driven by the departure of federal workers due to cutbacks implemented during the administration of former President Donald Trump. As uncertainty lingers over economic conditions, including the impact of Trump’s tariffs and the interest rate hikes instituted by the Federal Reserve in 2022 and 2023, hiring has clearly faltered.
In a related economic development, many consumers are reporting higher-than-usual prices for holiday gifts. A December poll conducted by The Associated Press-NORC Center for Public Affairs Research indicates that the elevated costs are partly due to the high import taxes on foreign goods introduced during Trump’s presidency. Although the worst-case scenarios predicted by economists have not fully materialized, certain popular items, particularly toys and electronics from China, have seen notable price increases. Jewelry costs have also risen significantly due to the current price of gold.
Retail Sales and Consumer Spending Show Weakness
Retail sales in the United States remained unchanged in October, following a period of increased spending over the summer months. The Commerce Department attributed this stagnation to a 1.6% decline in auto sales, impacted by the expiration of subsidies that had previously boosted demand for electric vehicles. Excluding auto sales, retail spending actually rose by 0.4%. The overall flat performance in October fell short of economists’ expectations, marking a departure from the robust sales increases observed in earlier months, such as a 0.6% rise in July and August.
Further complicating the economic landscape, Ford Motor Co. has announced a significant shift in its electric vehicle strategy. Amid mounting financial losses and declining consumer interest in electric pickups, Ford will no longer produce the fully electric F-150 Lightning. Instead, the company plans to focus on developing more efficient gasoline and hybrid vehicles, reallocating resources invested in electrification.
Market Reactions and Philanthropic Contributions
The U.S. stock market experienced a downturn amid the mixed economic data. The S&P 500 fell by 0.4%, while the Dow Jones Industrial Average lost 220 points. Investors reacted to uncertainty regarding future interest rate adjustments by the Federal Reserve, which remains a critical factor for market stability.
In a notable philanthropic development, Phil and Penny Knight‘s significant donation of $2 billion to Oregon Health & Science University tops the Chronicle of Philanthropy’s list of the biggest charitable contributions for 2025. Following the Knights are Warren Buffett with a $746.7 million donation, and the parents of Amazon founder Jeff Bezos, who pledged $500 million. Nearly 40% of the total donations on the list stem from the Knights’ gift, which supports cancer care and various international humanitarian efforts.
Internationally, European Union envoys are working to finalize a loan plan for Ukraine, using frozen Russian assets as collateral. The proposed loan, which will dominate discussions at the upcoming EU summit, aims to support Ukraine with an estimated need of 135 billion euros. Two potential pathways for financing are being considered: a reparations loan requiring a two-thirds majority or borrowing from financial markets that demands unanimous approval. However, concerns from Belgium regarding potential Russian retaliation could complicate these discussions.
Health and Automotive Innovations
In health news, the U.S. Food and Drug Administration (FDA) has expanded the approval of Addyi, a libido-boosting medication for women who have undergone menopause. Previously restricted to premenopausal women, the drug is now available for women up to age 65. Despite being the first medication approved for a sexual disorder in women, its sales have not met expectations, and users are warned against combining the drug with alcohol due to potential health risks.
Meanwhile, Volkswagen is investing $3.5 billion in a new research and development center in Hefei, China, as part of its strategy to regain market share in the competitive Chinese automotive sector. The company aims to create vehicles tailored to Chinese consumers, marking a departure from its previous approach of producing cars developed outside the country. With electric vehicles now constituting half of new car sales in China, Volkswagen’s partnership with local EV manufacturer Xpeng may accelerate its innovation in this rapidly changing market.
