US close: Stocks head south as hot August jobs print fuels rate-hike fears

(Sharecast News) - Major indices closed lower on Friday as August's hotter-than-expected jobs report led to increased expectations that the central bank will move to raise interest rates at its next policy meeting.

At the close, the Dow Jones Industrial Average was down 0.51% at 53,414.25, while the S&P 500 shed 0.38% to 7,718.60 and the Nasdaq Composite saw out the session 0.29% softer at 26,506.99.

The Dow opened closed 271.86 points lower on Friday, taking a bite out of solid gains recorded in the previous session after equities got a leg-up from a pullback in yields following comments from Federal Reserve governor Christopher Waller that he would be "inclined" to back holding rates at the current 3.5% to 3.75% target range at the FOMC's September meeting.

On Friday, however, the benchmark 10year Treasury yield was up roughly one and a half basis point at 4.789%, while the ratesensitive twoyear note was up more than two basis points at 4.372% after hitting its highest level since January 2025. The longerdated 30year yield was broadly flat at 5.247%.

Friday's yield moves came alongside news that US non-farm payrolls had surprised to the upside in August, according to the Bureau of Labor Statistics, rising by 162,000 against economists' expectations for a 53,000 increase. Upward revisions to June and July also added a further 55,000 jobs to prior estimates, reinforcing the sense that hiring momentum has been firmer than previously reported. The unemployment rate held at 4.1%, signalling a labour market that remains resilient even as broader economic indicators have softened in recent months.

Longterm unemployment was steady at 1.9m, accounting for 27% of all unemployed people, and the labour force participation rate ticked up to 61.6%, though it remained half a percentage point lower than at the start of the year. For markets, the strongerthanexpected payrolls figure may complicate expectations for nearterm rate cuts, particularly after recent commentary from Federal Reserve officials emphasising caution.

No other data points or major corporate earnings were released on Friday.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Intel Corp. (INTC) $95.80 8.17%

Caterpillar Inc. (CAT) $813.94 1.72%

Home Depot Inc. (HD) $321.05 0.94%

Cisco Systems Inc. (CSCO) $109.20 0.86%

Boeing Co. (BA) $212.25 0.83%

3M Co. (MMM) $168.56 0.15%

International Business Machines Corporation (CDI) (IBM) $234.89 0.08%

Goldman Sachs Group Inc. (GS) $1,038.61 0.07%

Walmart Inc. (WMT) $0.00 0.00%

Dowdupont Inc. (DWDP) $0.00 0.00%

Dow Jones - Fallers

Dow Chemical Co. (DOW) $29.44 -3.03%

Salesforce.Com Inc. (CRM) $259.23 -1.97%

Microsoft Corp. (MSFT) $499.70 -1.79%

Walt Disney Co. (DIS) $105.31 -1.73%

Apple Inc. (AAPL) $319.97 -1.67%

McDonald's Corp. (MCD) $255.69 -1.52%

Amgen Inc. (AMGN) $437.23 -1.48%

Travelers Company Inc. (TRV) $369.35 -1.33%

Merck & Co. Inc. (MRK) $150.33 -1.32%

Chevron Corp. (CVX) $208.60 -1.29%

S&P 500 - Risers

KLA-Tencor Corp. (KLAC) $185.60 10.32%

Seagate Technology Plc (STX) $849.28 10.30%

Western Digital Corp. (WDC) $467.46 10.13%

Lam Research Corp. (LRCX) $307.65 9.59%

Micron Technology Inc. (MU) $1,016.59 9.58%

NetApp Inc. (NTAP) $185.59 8.53%

Intel Corp. (INTC) $95.80 8.17%

Advanced Micro Devices Inc. (AMD) $477.57 7.66%

NRG Energy Inc. (NRG) $119.02 6.42%

Applied Materials Inc. (AMAT) $454.71 6.37%

S&P 500 - Fallers

Autodesk Inc. (ADSK) $217.90 -12.73%

Coterra Energy Inc. (CTRA) $32.56 -8.62%

Adobe Systems Inc. (ADBE) $266.51 -8.44%

Intuit Inc. (INTU) $332.70 -7.92%

Equifax Inc. (EFX) $177.05 -6.37%

Netflix Inc. (NFLX) $78.25 -5.91%

Synopsys Inc. (SNPS) $393.84 -5.55%

eBay Inc. (EBAY) $103.41 -5.18%

TripAdvisor Inc. (TRIP) $9.32 -5.10%

Cadence Design Systems Inc. (CDNS) $292.70 -4.72%

Nasdaq 100 - Risers

KLA-Tencor Corp. (KLAC) $185.60 10.32%

Seagate Technology Plc (STX) $849.28 10.30%

Western Digital Corp. (WDC) $467.46 10.13%

Lam Research Corp. (LRCX) $307.65 9.59%

Micron Technology Inc. (MU) $1,016.59 9.58%

Intel Corp. (INTC) $95.80 8.17%

Applied Materials Inc. (AMAT) $454.71 6.37%

Baidu Inc. (BIDU) $99.47 6.09%

Asml Holdings N.V. (ASML) $1,714.88 5.34%

Skyworks Solutions Inc. (SWKS) $74.02 4.55%

Nasdaq 100 - Fallers

Qvc Group Inc Series A (QVCGA) $0.34 -13.49%

Autodesk Inc. (ADSK) $217.90 -12.73%

Adobe Systems Inc. (ADBE) $266.51 -8.44%

Intuit Inc. (INTU) $332.70 -7.92%

Workday, Inc. (WDAY) $195.79 -7.23%

Netflix Inc. (NFLX) $78.25 -5.91%

Synopsys Inc. (SNPS) $393.84 -5.55%

Tesla Inc (TSLA) $354.08 -5.27%

eBay Inc. (EBAY) $103.41 -5.18%

Cadence Design Systems Inc. (CDNS) $292.70 -4.72%