U.S. corporate profits and stocks are surging even as companies have cut nearly 1 million jobs in 2025 — a “jobless boom,” according to Chen Zhao, chief global strategist at Alpine Macro. CBS News reported that ADP data shows private employers added 42,000 jobs in October, while unemployment stood at 4.3% in August.

Zhao attributes the disconnect to rapid AI-driven productivity gains and a shrinking labor pool. The Federal Reserve cut rates in September and October amid employment risks. Others, including Art Pappas of Bullhorn, attribute layoffs to post-pandemic recalibration and a pullback in entry-level hiring.

The DX Brief

  • Corporate profits and major indexes at highs; ADP shows +42,000 private jobs in October; unemployment 4.3% in August
  • Amazon cut about 30,000 roles as AI adoption spreads, with layoffs totaling nearly 1 million in 2025
  • Federal Reserve cut rates in September and October, citing rising risks to employment growth
  • Analysts split: Zhao sees AI-driven labor slowdown; Pappas points to post-pandemic over hiring and reduced entry-level hiring
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Read the full article at CBS News