<img src=”https://storage.googleapis.com/prod-zenger-upload/image/20230804/feat_b3b78d6c-109d-4522-b691-7274821a8b02.jpg” alt=”The July jobs report issued Friday delivered mixed takeaways for the market, although it confirmed an overall healthy U.S. labor market. PHOTO BY ARLINGTON RESEARCH/UNSPLASH”>

The July jobs report issued Friday delivered mixed takeaways for the market, although it confirmed an overall healthy U.S. labor market.

On one hand, the pace of nonfarm payrolls growth fell short of forecasts in July, with 187,000 jobs gained compared to the expected 200,000. On the other hand, the jobless rate fell to 3.5%, exceeding expectations of 3.6%. Wages increased at a monthly pace of 0.4% and an annual rate of 4.4%, which was faster than expected.

The market interpreted the jobs report in a dovish manner, lowering expectations for potential interest rate hikes in September. Market-derived probabilities put the chance of a 25-basis-point hike in September at 13%, down from 19% before the report was issued Friday morning.

President Joe Biden applauded the job market data, emphasizing that the share of working-age Americans with jobs has reached a 20-year high. He attributes this positive trend to the effects of his economic policies, often referred to as “Bidenomics.”

Atlanta Fed President Raphael Bostic said the Fed is likely to remain into restrictive territory well into 2024 and said he is unsurprised wages remain strong.

Five stocks from the Russell 1000 index (large-cap) and five exchange-traded funds had substantial price action in the opening minutes of trading Friday as a result of jobs data and the movement in interest rates, as well as statements regarding quarterly corporate results.

5 Stocks Rallying On Friday

5 ETFs Rallying On Friday

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