Nonfarm Payroll Data Validates Waller and Bowman’s Case for Rate Cuts: Signs of Weakness Emerge in the Labor Market

According to a report by Jinse Finance, U.S. labor data has fueled calls for monetary easing, leading to declines in both U.S. Treasury yields and the dollar. The 10-year Treasury yield stands at 4.295%, while the 2-year yield is at 3.801%. In July, the U.S. added only 73,000 jobs. The unemployment rate edged up slightly from 4.1% to 4.2%. Meanwhile, previous data was significantly revised downward: May’s job gains were cut from 144,000 to 19,000, and June’s from 147,000 to 14,000. Before the release of the employment report, dissenting Federal Reserve Governors Waller and Bowman noted signs of weakness in the labor market.