The trend: Despite a solid close to 2024, retail-related headlines with “weaker-than-expected guidance” are becoming the norm as companies from Amazon to Levi Strauss to Whirlpool point to challenges ahead.

Why is this happening? There are five interrelated reasons that retailers are feeling glum:

• The labor marketing is moderating. The US added a seasonally adjusted 143,000 jobs in January, down from an upwardly revised 307,000 in December, and significantly below the 169,000 expected, per the Bureau of Labor Statistics. While the unemployment rate ticked down to 4%, it is poised to grow in the coming months if the Trump administration succeeds in cutting the federal workforce by up to 10%. As hiring slows and wage growth levels off, consumers will have less discretionary income, leading to weaker demand.