Market Data 
Stocks slid Friday as a disappointing jobs report added to fears that the US economy is weakening.
The Dow fell 705 points, or 1.8%, Friday morning. The S&P 500 lost 2.4% and the Nasdaq Composite declined 3.2%.
That puts the Nasdaq in correction territory, or more than 10% off its most recent high on July 10.
The US economy added just 114,000 jobs in July, according to Bureau of Labor Statistics data released Friday. That’s far below economists’ estimates of 175,000 jobs added. The unemployment rate surged to 4.3% from 4.1%, above expectations for it to stay steady.
That comes a day after stocks sold off sharply on soft economic news. Data Thursday revealed that first-time applications for jobless benefits rose last week to its highest tally since last August, while the number of claims filed by people who have received unemployment benefits for at least a week jumped to its highest level since November 2021.
Elsewhere, fresh data from the Institute for Supply Management revealed that US manufacturing activity fell in July from the month before, marking a fourth-straight month of contracting.
“These numbers reflect a sharp deceleration in hiring, confirming the weakness we saw in yesterday’s claims data. The same Fed that was behind the curve on inflation could now find itself behind the curve fighting a slowdown,” wrote David Russell, global head of market strategy at TradeStation, in a Friday note.
The weak reports spurred concerns about the US economy’s health, helping lead all three major indexes to pace for a weekly decline. Stocks have also whipsawed in recent days as investors also digested the Federal Reserve’s July policy meetings and Big Tech earnings reports.
The Federal Reserve on Wednesday signaled that the state of the job market is shifting its focus to maintaining the labor market’s strength rather than bringing down inflation. Chair Jerome Powell said that significantly more cooling in the labor market could be worrisome, noting that the job market is back to its pre-pandemic state.
“If we see something that looks like a more significant downturn, that would be something that we would have the intention of responding to,” Powell told journalists at a press conference.
Stocks jumped Wednesday after the central bank hinted that a long-awaited rate cut is on the table for September, acknowledging the progress it has made in tamping down now “somewhat” elevated inflation.
Traders are expecting three rate cuts this year, according to the CME FedWatch Tool.
Investors have also parsed a mixed bag of Big Tech earnings this week.
Microsoft shares have shed 4.6% this week after missing projections for its cloud revenue.
Shares of Apple, which reported in-line earnings but missed sales expectations Thursday evening, are up 2.1%. Amazon issued a disappointing revenue forecast during its quarterly results. Its shares are 11.4% lower this week.
Meta Platforms was the clear winner among the Big Tech names who have reported quarterly results in recent days. Shares of Meta are up 3.1% this week after the company reported solid quarterly earnings and raised its 2024 revenue outlook.
Investors have in recent weeks moved out of the Magnificent Seven tech stocks that powered the market to repeated record highs this year. The shift comes after a slew of cooling inflation data raised optimism that rates will be lower soon and provide a boon for smaller stocks that have been beaten down by high interest rates.
Elsewhere, shares of Intel are down 34% for the week after the company on Thursday reported revenue slipped from the year prior to $12.8 billion. Intel saw an income loss of $1.6 billion during the second quarter.
This is a developing story and will be updated.
