The post Amazon stock slumps on hiring data as US labor market looks weak appeared on BitcoinEthereumNews.com.

Amazon stock gave back 3.65% on Friday. August US NFP data showed a hiring miss, while June and July figures were revised lower. Mainstream view still expects 25 bps cut on September 18, but JPMorgan calls for 50 bps. Analyst expects Magnificent Seven, especially AMZN, to sink on slowing EPS growth in Q3.   Amazon (AMZN) was injured more than most of the Magnificent 7 stocks on Friday, ending the day 3.65% lower. The culprit was the Nonfarm Payrolls (NFP) print for August that came in 11% below expectations. The wider market also fell victim to the bad hiring figure in the US, which came in 18K below consensus at 142K. The Dow Jones lopped off 1% of its value, while the NASDAQ drained by 2.55%.  Amazon stock news: Downward hiring revisions worry market The good news is that the Federal Reserve (Fed) is almost certainly set to begin its rate-cutting cycle on September 18. The bad news is that it may be 50 bps since the US labor market looks uncharacteristically weak. It would seem that the past two years of a high interest rate environment have finally taken their toll.  Based on the August NFP report, released Friday morning, the US economy added 142K net new jobs, which was better than July but fell below the 160K consensus of Wall Street. The US Unemployment Rate ticked down by a tenth of a percentage point to 4.2%, but healthy job growth in the US is normally above 200K.  What’s more, July’s already worrisome figure of 114K was revised down to 89K. Likewise, June’s 179K figure was revised lower to 118K, so traders are beginning to sense a serious pattern.  At one point on Friday, bets on a 50 bps cut in September, what would be the first cut since the Fed…

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Filed under: News - @ September 7, 2024 5:20 pm