June Jobs Report Misses at 57K; Dow Hits Record, Yields Fall as Fed Hike Bets Dim
- Nonfarm payrolls rose just 57,000 in June, well below expectations, while the unemployment rate dipped to 4.2%; per the NYT, the data shows the labor market is no longer a source of inflationary pressure.
- Markets reacted bullishly: the Dow rose more than 300 points to an intraday record, the 10-year yield fell, and bonds rallied as traders dialed back expectations for further Fed hikes following Fed governor Warsh's Sintra remarks that 'prices are too high.'
- The Nasdaq and S&P 500 lagged as investors rotated out of tech, with chip stocks and Tesla (worst day in a year) leading the decline, per Bloomberg and MarketWatch live coverage.