US employment falls 23,000 in July; earlier months revised down

US employment unexpectedly fell by 23,000 jobs in July, with earlier months revised down sharply, signaling a deteriorating labor market. Nonfarm payrolls dropped 23,000 versus an expected 80,000 gain. May and June figures were revised down by about 100,000 combined. Unemployment edged down to 4.1 percent as workers left the labor force. Despite relatively high inflation, weak wage growth and job data have cooled expectations of a Federal Reserve rate hike. The Fed has kept rates at 3.50-3.75 percent; hourly earnings rose 0.1 percent monthly.