US Stocks Rally, Treasury Yields Fall as Weak Jobs Report Dents September Fed Rate Hike Expectations

A surprisingly weak US jobs report for July, which saw employers unexpectedly cut 23,000 jobs, has led investors to reduce their expectations for a Federal Reserve rate hike in September. This development prompted a rally in US stocks and a decline in Treasury yields. The report also included downward revisions to May and June payroll figures by a combined 103,000 jobs, further indicating a cooling labor market.