Bonds & Stocks
A sharp slowdown in the US jobs market drove stocks higher while bond yields fell on speculation that the Federal Reserve won’t be forced to raise interest rates any time soon. The S&P 500 rose 0.4%. The yield on 10-year Treasuries declined five basis points to 4.63%.
Economy
US employers unexpectedly cut jobs in July and hiring in the prior two months was revised lower, suggesting the labor market is weaker than previously thought after surprising strength earlier this year. Nonfarm payrolls decreased 23,000 last month following a combined 103,000 downward revision to the May and June figures. The unemployment rate fell to 4.1% as labor force participation continued to slide, and wage growth slowed.
World
Iranian lawmakers are debating the wording of a proposed deal with Oman on the Strait of Hormuz, with US President Donald Trump insisting an agreement is getting closer.