(The Center Square ) – With inflation easing faster in recent months, Fed policy has become more restrictive. Concerns are mounting that the Federal Reserve may have once again lagged behind the curve. The latest jobs report provided little reassurance to investors, as employment growth appears to be decelerating more rapidly than anticipated.

In August, the economy added 142,000 jobs, but revisions for June and Julyreduced the three-month average to just 116,000 jobs, down from 211,000 jobs in the prior period. Year-to-date, the number of jobs added is only 69% of the total from the same period in 2023. Alarmingly, the majority of these new jobs are concentrated in just two sectors: government and health services.