đ Weak U.S. Jobs Report Shocks Markets
Julyâs U.S. nonfarm payroll data just flipped the script â and itâs not pretty.
đ Payrolls Added: Just 73,000
Economists expected 100,000 jobs â already a weak figure. But July underperformed even that low bar.
Worse yet, previous months got slashed:
đť June: Revised from 147,000 â 14,000
đť May: Revised from 144,000 â 19,000
Thatâs 258,000 jobs erased â vanished from the books, equivalent to the entire population of Scottsdale, AZ.
Meanwhile, unemployment ticked up to 4.2%, exactly as forecast â but still rising. This directly contradicts Fed Chair Jerome Powellâs comments just two days ago, claiming the labor market remains âstrong.â
đĽ Not anymore.
đ Markets React Fast: September Rate Cut Almost Certain
Wall Street wasted no time. As the data hit:
đš CME FedWatch Tool: September rate cut odds surged from 40% â 75.5%
đš Kalshi Markets: Matching expectations at 75% probability of a cut
đš Bond Yields:
â⢠2-year yield dropped 15 bps to 3.80%
â⢠10-year yield fell 8 bps
đŹ These are strong signals: markets are bracing for a Fed pivot.
Two Takeaways:
1ď¸âŁ The labor market is quietly slipping into recession.
2ď¸âŁ Or the BLS data is so flawed it missed a quarter million jobs.
Neither is bullish. One spells pain. The other signals chaos.
đŁ Bonus: Trump Slams Powell
Former President Donald Trump jumped in via Truth Social, mocking the Fed Chair:
âToo Little, Too Late. DROP THE RATE! The good news is that Tariffs are bringing Billions of Dollars into the USA!â
â Donald J. Trump
đŹ Trump dubbed him: âJerome âToo Lateâ Powellâ
đŞ Market Impact: Watch These Tickers
$DXY â Dollar under pressure
$GOLD â Eyeing breakout amid policy uncertainty
$BTC / $ETH â Potential upside if rate cut talk strengthens
$TRUMP â Meme market reacts:
â> TRUMPUSDT Perp: 8.589 (-3.22%)
đ Powellâs credibility took a direct hit â and the market knows it.
September just became a high-stakes moment for the Fed.