U.S. markets ended their second consecutive losing week, recovering slightly on Friday after a tech-driven plunge on Halloween. Treasury yields hit four-month highs as October’s job growth sharply missed expectations, adding only 12,000 jobs versus the anticipated 113,000. The low job gains were partly due to storms and strikes, with unemployment holding steady at 4.1%.
Revised August and September job numbers removed 112,000 jobs, suggesting the Fed’s recent rate cuts were in line with a slowing labor market. These adjustments boosted expectations for further rate cuts in November and December.
The week closed with the S&P 500 down 1.80% at 5,728.80, the Dow down 0.50% at 42,052.19, and the Nasdaq down 2.19% at 18,239.92. Elevated volatility and economic uncertainty reflected investors’ cautious stance ahead of the upcoming election and potential Fed policy changes.
