Softer-than-Expected US June Jobs Report Dampens Fed Rate Hike Expectations, Boosts Treasuries

The U.S. labor market softened in June, with non-farm payrolls rising by a much lower-than-expected 57,000, and prior months' gains revised down by 74,000. This weaker jobs report led to a rally in short-dated US Treasuries, a sell-off in the US dollar against its peers, and a reduction in market expectations for a Federal Reserve rate hike in upcoming meetings. Gold prices also rose, supported by the weaker dollar and softer yields.