Recent U.S. employment reports revealed a slowdown, with just 22,000 jobs added in August and unemployment rising to 4.3%, its highest since 2021. Economists including Mohamed El-Erian and Mark Zandi interpret this as evidence of labor market weakening and possible recession onset. The data have increased speculation about Federal Reserve rate cuts, including discussions of potential jumbo cuts to combat the economic deceleration amid inflation uncertainties and geopolitical factors.