The Federal Reserve held rates steady in July but two governors dissented, saying they had concerns about labor market fragility.

The unemployment rate nudged up slightly to 4.2 per cent, in line with market expectations There were big downward revisions to jobs growth in May and June July’s payrolls report painted a picture of a labour market that is weakening,

The July jobs report shows weakening in the labor market and lifts expectations for a September rate cut. The July jobs report came in weaker than expected, signaling a slowdown in the labor market. This is good news for those wanting the Federal Reserve to lower interest rates,

The Federal Reserve left its benchmark interest rate unchanged for the fifth straight meeting Wednesday amid tremendous pressure from President Donald Trump to reduce borrowing costs. For the first time since 1993, two of the seven members of the Fed’s board of governors dissented.

President Donald Trump on Friday called for the Federal Reserve's board of governors to usurp the power of Fed Chair Jerome Powell, criticizing the head of the U.S. central bank for not cutting short-term interest rates.