The 10-year U.S. Treasury yield ended Friday near 4.69% as bond yields fell after the employment data. Gold (CM:XAUUSD) jumped 4.07% to $4,342.35, while oil (CM:CL) slipped 0.3% to $77.15. Bitcoin (BTC-USD) rose 1.56% to $64,994.51.
Weak Jobs Report Changes the Rate Debate
The biggest market event of the week came Friday, when the U.S. Labor Department reported that employers unexpectedly cut 23,000 jobs in July. May and June payroll figures were also revised down by a combined 103,000 jobs, adding to signs that the labor market is cooling.
Stocks rose, and Treasury yields fell as traders reduced expectations for another Federal Reserve rate hike. Technology shares were among the strongest performers, helping the broader market finish its second straight week of gains.
The weak jobs numbers make the Fed’s decision a bit more complicated. Inflation is still high, and oil prices along with geopolitical risks keep adding to the uncertainty about future price increases. People are now eagerly awaiting next week’s inflation reports to see if weaker employment is coming hand in hand with cooling prices or if inflation stubbornly stays high.
