Markets look for further confirmation that the job market is weakening
CNN
Economists expect to see slower monthly growth, with around 175,000 jobs added and an unemployment rate that remains at 4.1%.
Economists expect that Friday’s July jobs report will show a net gain of 175,000 jobs — a touch below the average for the past three months — and for the unemployment rate to hold steady at 4.1%, according to FactSet estimates. The Federal Reserve isn’t expected to start cutting rates until September at the earliest, but Friday’s jobs report should provide some key insight into whether the labor market has enough gas in the tank to stay on cruise control. US investors are heading for the nearest exit — fast. Stocks were set to tumble again Friday, dragged down by fears that cracks are forming in the American economy and concern that all the money investors poured into tech stocks, fueled by the AI boom, may have been overdone. Dow futures fell 400 points, or 0.1%. S&P 500 futures were down 1.2% and Nasdaq futures were 1.8% lower. Amazon and Intel reported dreadful earnings Thursday night, and their outlooks were equally miserable. The transition to AI has proven costly while its prospects remain uncertain.
