The Labor Market Shock: Implications for the Economy and Federal Reserve Policy

  • 📰 KitcoNewsNOW
  • ⏱ Reading Time:
  • 45 sec. here
  • 31 min. at publisher
  • 📊 Quality Score:
  • News: 122%
  • Publisher: 78%

Kitco News Noticias

Gold,Silver,Platinum

The Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.

The July non-farm payroll report released by the Bureau of Labor Statistics has sent shockwaves through financial markets, raising concerns about the U.S. economy's health and dramatically altering expectations for Federal Reserve policy. The report revealed a significant weakening in the labor market, with only 114,000 new jobs added in July, far below economists' forecasts. More alarmingly, the unemployment rate jumped to 4.

Financial markets reacted swiftly to the news, with U.S. equities experiencing substantial declines across major indices. The Dow Jones Industrial Average fell 1.5%, while the S&P 500 and NASDAQ Composite suffered losses of 1.84% and 2.43%, respectively. These drops inflicted significant technical damage, pushing the NASDAQ into correction territory, more than 10% below its July peak.

The gold market experienced heightened volatility in response to these developments. December gold futures traded in a wide range between $2,453 and $2,522.50, ultimately settling $4.80 lower at $2,484.40, as of 5:20 PM EDT.Perhaps most significantly, the jobs report has dramatically shifted expectations for the Federal Reserve's September meeting. While a rate cut was already anticipated, the probability of a more aggressive 50 basis point reduction has surged from 22% to 71.

Hemos resumido esta noticia para que puedas leerla rápidamente. Si estás interesado en la noticia, puedes leer el texto completo aquí. Leer más:

 /  🏆 13. in MX
 

Gracias por tu comentario. Tu comentario será publicado después de ser revisado.

México Últimas Noticias, México Titulares

Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.

June jobs report: US labor market set to show 'cooling but not cool' trend continuesThe June jobs report comes at a crucial moment as economists debate whether the US labor market is still normalizing to pre-pandemic levels or showing the...
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »

June jobs report: US labor market adds 206,000 jobs, unemployment rate rises to 4.1%The June jobs report comes at a crucial moment as economists debate whether the US labor market is still normalizing to pre-pandemic levels or showing the...
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »

Labor market cools in June, Meta rises on Threads growth: Yahoo FinanceThe major indexes (^DJI,^GSPC, ^IXIC) remain relatively flat after the 4th of July holiday and the release of June's jobs data. Nonfarm payrolls rose above...
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »

4.1% unemployment indicating 'slack' in US labor marketJune's jobs report is yet another sign pointing to the US job market cooling. PNC Financial Services Group chief economist Gus Faucher joins Market...
Fuente: YahooFinanceCA - 🏆 47. / 63 Leer más »

Yellen Echoes Powell Saying Labor Market Now Less InflationaryTreasury Secretary Janet Yellen said the labor market is no longer driving inflation in the US economy to the extent it was earlier in the pandemic recovery, echoing earlier comments by Federal Reserve chief Jerome Powell.
Fuente: BNNBloomberg - 🏆 83. / 50 Leer más »