August nonfarm payrolls drop to 142,000 vs the expected 165,000 with the unemployment rate rising to 4.2% meeting the expected 4.2%.
- This job report is the worst August job growth since 2017
- This is compounded by July's disappointing job report and unemployment rate.
- Jerome Powell stated that the central bank does not seek or welcome further cooling in labor market conditions.
- This report significantly increases the probability of the Fed cutting rates by at least 25 bp and further the chance of a 50 bp cut in this month's upcoming Fed meeting.
Leave a Reply