Washington: Erika McEntarfer, commissioner of the Bureau of Labor Statistics (BLS), was dismissed Friday following a weaker-than-expected jobs report that further fueled market anxiety over Trump’s aggressive trade agenda. In a social media post, Trump claimed McEntarfer had “rigged” data for political reasons, although no proof was offered.

“This is a step in a very bad direction,” warned Ryan Sweet, chief U.S. economist at Oxford Economics. “If there are any questions around the integrity of the data, it’s going to create a lot of problems.”

McEntarfer responded with a measured statement, calling her tenure “the honour of my life” and emphasizing the agency’s nonpartisan commitment to “vital and important” work.

Her dismissal came as global markets plunged, with the S&P 500 falling 1.6%, the Dow down 1.2%, and the Nasdaq tumbling 2.2% by Friday’s close. European and Asian indices also suffered, including a 2.9% drop in France’s CAC 40 and a 3.8% fall in South Korea’s Kospi.

The market turmoil follows Trump’s latest round of global tariff hikes, which will raise the average U.S. tariff rate to roughly 17%—a sharp increase from less than 2.5% earlier this year. Critics warn the new levies could dampen global trade and slow the U.S. economy.

Adding to the uncertainty, Federal Reserve board member Adriana Kugler announced her early resignation, giving Trump the chance to reshape monetary policy ahead of the 2026 election cycle. Trump also renewed attacks on Fed Chair Jerome Powell, accusing him of moving too slowly on rate cuts.

While markets had previously rebounded after Trump paused steeper tariffs in April, analysts say the latest moves signal a return to volatility.