US employers unexpectedly cut 23,000 jobs amid strain from the Iran war, unemployment dips to 4.1%

US employers unexpectedly cut 23,000 jobs amid strain from the Iran war, unemployment dips to 4.1%unemployment downWASHINGTON (AP) — U.S. employers unexpectedly cut 23,000 jobs last month, and Labor Department revisions shaved 103,000 jobs off payrolls in May and June. The unemployment rate dipped to 4.1% only because Americans left the job market. The 4.1% unemployment rate was the lowest since June 2025 – but it dropped for the wrong reasons: Fewer people were competing for work as 264,000 dropped out of the labor market. Economists have used the term “no hire, no fire” to describe the unusual job market conditions. The United States doesn’t need as many jobs as it used to to keep the unemployment rate from rising.