Nonfarm payrolls in the U.S. unexpectedly declined in July, but so did the unemployment rate, leaving investors with mixed signals.

Nonfarm payrolls are expected to post a gain of just 83,000 with an unchanged unemployment rate at 4.2%.

U.S. employers cut 23,000 jobs in July, and job gains for the two previous months were weaker than initially reported, according to a report Friday from the Labor Department.