US Stocks Decline Amid Weak July Jobs Report and Investor Concerns

A poor jobs data for July sent US equities plunging on Friday, scaring investors. The Nasdaq Composite entered correction territory, closing more than 10% below its July 10 peak. The CBOE Volatility Index (VIX) soared as much as 60% to its highest level since March 2023. Bond yields plunged, with the 10-year US Treasury yield falling 18 basis points to its lowest level all year. The July jobs report showed an unexpected increase in the unemployment rate and payroll figures, triggering the Sahm rule. The consensus expectation on Wall Street has shifted from a 25-basis-point reduction in September to a 50-point cut, and there is increased pressure for the Fed to accelerate its pace through year-end and beyond. Shares of Intel plunged 30%, its