A rather disappointing jobs report is challenging Wall Street's optimism over looming rate cuts, as labor market weakness stirs fresh concerns about the economy.
- SPY is falling from record highs. Check live prices here.
Nonfarm payrolls grew by a meager 22,000 in August, after July's weak 79,000 and a June revision showing a 13,000 job loss — the worst since 2020. The three-month hiring pace has collapsed to 29,000, locking in expectations for Fed rate cuts in September, October and December.
By midday in New York, all major large-cap indices had slipped modestly, despite both the S&P 500 and Dow Jones opening the session at record highs.
Cyclical sectors came under pressure, with energy, financials and industrials each down more than 1% on the day, reflecting mounting growth concerns. In contrast, rate-sensitive sectors such as real estate and materials outperformed.
Gold continued to shine, with spot prices breaking a new record above $3,600 per ounce — marking what could be its seventh gain in eight sessions. The metal is now up 37% year-to-date, on track for its best-performing year since 1978.
Treasuries also moved higher as yields fell across the curve. The two-year yield slid 12 basis points to 3.47%, while the 30-year yield dipped below 4.80%.
The iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) gained 1.5%, extending its winning streak to three days and returning to late-April levels.
Oil prices tumbled, with WTI crude sliding 3.1% to $61.51 a barrel, on track for the lowest close since early June, after Saudi Arabia pushed OPEC+ to continue raising production quotas despite oversupply concerns.
Bitcoin (CRYPTO: BTC) held steady around $110,000.
Friday’s Performance In Major U.S. Indices, ETFs
| Major Indices | Price | Chg % |
| Russell 2000 | 2,383.65 | +0.2% |
| Nasdaq 100 | 23,615.13 | -0.1% |
| S&P 500 | 6,473.50 | -0.4% |
| Dow Jones | 45,385.39 | -0.5% |
According to Benzinga Pro data:
- The Vanguard S&P 500 ETF (NYSE:VOO) eased 0.5% to $593.48.
- The SPDR Dow Jones Industrial Average (NYSE:DIA) slipped 0.6% to $454.25.
- The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) eased 0.2% to $574.31.
- The iShares Russell 2000 ETF (NYSE:IWM) inched 0.1% higher to $236.85.
- The Real Estate Select Sector SPDR Fund (NYSE:XLRE) outperformed, up 0.8%; the Energy Select Sector SPDR Fund (NYSE:XLE) lagged, down 2.1%.
Stocks On The Move Friday
- Broadcom Inc. (NASDAQ:AVGO) rallied 9% after reporting strong results last quarter and providing an upbeat guidance. Peers Advanced Micro Devices Inc. (NASDAQ:AMD) and Nvidia Corp. (NASDAQ:NVDA) fell 5% and 3%, respectively.
- Tesla Inc. (NASDAQ:TSLA) advanced 2.6% after its board proposed a new compensation plan for CEO Elon Musk, a package that could be valued at as much as $1 trillion over the next 10 years.
- Guidewire Software (NYSE:GWRE) surged 19% after the insurance-software company issued a fiscal 2026 revenue outlook that came in above analyst forecasts.
- Shares of Lululemon Athletica Inc. (NASDAQ:LULU) tumbled 19%. The retailer delivered stronger-than-expected earnings, but a downward revision to its forward guidance overshadowed the results.
- Earnings news also fueled moves in several other names: Samsara Inc. (NYSE:IOT) rallied 15%, DocuSign Inc. (NASDAQ:DOCU) climbed 4%, UiPath Inc. (NYSE:PATH) rose 4.5% and Copart Inc. (NASDAQ:CPRT) fell 5.44%.
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Image created using artificial intelligence via Midjourney.
