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Dollar drops against peers after weaker-than-expected jobs report

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By Chibuike Oguh

NEW YORK (Reuters) -The U.S. dollar fell sharply against major peers on Friday after crucial monthly jobs data showed that American employers hired fewer workers than expected, which affirms weakening labor market conditions and likely guarantees a Federal Reserve interest rate cut.

Labor Department data showed that nonfarm payrolls increased by only 22,000 jobs last month, far short of the 75,000 positions estimated by economists polled by Reuters.

The dollar fell across the board following the report. It weakened 0.70% to 147.44 against the Japanese yen, but was still on track for the second straight week of gains. The greenback dropped 0.91% to 0.79830 against the Swiss franc and was poised for the fourth consecutive week of losses against the currency.

“The data is giving evidence of what was feared, which is that what companies have experienced throughout the year because of changes in trading policy has added costs when it comes to tariffs,” said Juan Perez, director of trading at Monex USA in Washington. “These costs can only be absorbed for so long and what is being manifested is that companies are struggling with hiring.”

The euro was up 0.55% at $1.171675 and was set to notch a weekly gain against the dollar. The dollar index fell 0.48% to 97.767 and was set to shed 0.23% this week.

“It’s definitely not a good story for the U.S. dollar and it’s not a good story for the United States because what today truly establishes is that we are experiencing very serious stagflation,” Perez added.

U.S. Treasury yields fell. The rate-sensitive 2-year note yield fell 8.1 basis points to 3.511%. The yield on benchmark U.S. 10-year notes fell 8.8 basis points to 4.088%.

Wall Street’s main indexes, including the S&P 500, Nasdaq and the Dow, reversed gains in early trade and were all trading down.

Traders are now pricing a 10% chance of a 50-basis point cut at the Fed’s next meeting later this month, while the probability of a 25-basis point cut is at nearly 90%, according to the CME’s FedWatch tool.

“The pendulum has swung very far in favor of a Fed rate cut that even the market is pricing in a 10% chance of a 50 basis-point cut,” said Marc Chandler, chief market strategist at Bannockburn Global Forex. “But a 50 basis-point cut would make it seem like they made a mistake by not cutting previously and I don’t think they want to admit to that . . . The prudent thing to do, and I think the Fed is prudent, is a 25-basis-point cut.”

The pound rose versus a weaker dollar after Friday’s news that British Deputy Prime Minister Angela Rayner resigned after admitting to underpaying property tax on a new home, in a fresh blow for her boss, Prime Minister Keir Starmer.

It strengthened 0.51% to $1.35055 and was on track to gain 0.02% for the week.

Gold hit a fresh record high of $3,599.89 as the dollar weakened. Spot gold rose 1.35% to $3,593.04 an ounce.

(Reporting by Chibuike Oguh in New York; additional reporting by Lucy Raitano; editing by Philippa Fletcher and Alex Richardson)

‘The great Rayner reshuffle’ and ‘Nightmare on Downing Street’

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The headline on the front page of the Times reads: "The great Rayner reshuffle".

Every Saturday paper leads on Angela Rayner’s resignation – after she failed to pay enough stamp duty on her flat in Hove – and the ministerial shake-up it triggered. The Times headline reads “The great Rayner reshuffle”, reporting on Sir Keir Starmer’s new cabinet appointments as he tries to “overhaul his top team”.

The headline on the front page of the Daily Mail reads: "Nightmare on Downing Street".

The Daily Mail calls it “nightmare on Downing Street”. The paper says Yvette Cooper is appointed foreign secretary after “failing to tackle the small boats crisis” from her position in the Home Office. Former Justice Secretary Shabana Mahmood will take up Cooper’s previous position.

The headline on the front page of the i Paper reads: "Rayner loses her job - as PM tells Mahmood to stop boat migrants".

The i Weekend says Shabana Mahmood, the new home secretary, is a “rising star” in the Labour Party, and has been “installed” in the Home Office to take a “harder line” on migrants and “slow Nigel Farage’s momentum”.

The headline on the front page of the Telegraph reads: "Exit Rayner, now Starmer takes the fight to Reform".

“Exit Rayner, now Starmer takes the fight to Reform” reads the headline of the Daily Telegraph, picturing MPs Pat McFadden and Ed Miliband alongside an image of Rayner. According to the paper, Miliband will retain his post as net zero secretary, while McFadden has been given a new “super-charged” department that will focus on “growth, containing benefits, pensions and skills briefs”.

The headline on the front page of the Financial Times reads: "Starmer upends his cabinet after Rayner resigns over tax scandal".

“Starmer upends his cabinet after Rayner resigns over tax scandal” says the Financial Times. The paper calls the reshuffle a “big gamble”, and says that the moving of 11 ministers into new roles raises questions about whether they will perform better after the change.

The headline on the front page of the Guardian reads: "PM battles to contain crisis after Rayner forced to resign".

“PM battles to contain crisis” says the Guardian, writing that fallout from the controversy is “likely to further damage Labour’s reputation”. The front page features a quote from Rayner’s resignation letter, which reads “for a teenage mum from a council estate to served at the highest level of government has been the greatest honour of my life”.

The headline on the front page of the Mirror reads: "Stamp duty 'hypocrite'".

The Mirror brands Reform UK leader Nigel Farage a “stamp duty ‘hypocrite'”, alleging that he would have had to pay additional stamp duty for a home in Clacton were it not purchased by his partner.

The headline on the front page of the Express reads: "They are not fit to govern".

Farage says Labour is “not fit to govern”, is a quote carried by the front page of the Daily Express. The paper writes that the Reform UK leader has urged voters to “kick Sir Keir Starmer’s government out of No10”, vowing to “save Britain”.

The headline on the front page of the Star reads: "Rayn's over".

“Rayn’s over” says the Saturday edition of the Star, labelling the subsequent changes to cabinet a “government meltdown” and “frontbench mayhem”.

The headline on the front page of the Sun reads: "Sunk".

“Sunk” declares the Sun, with a photo of Rayner in an inflatable boat emblazoned on the front page.

The resignation of Angela Rayner, and the resulting reshuffle, is the main story on all the front pages. The Daily Mail calls it a “Nightmare on Downing Street”, saying Labour is in “meltdown”. It calls the reshuffle “chaotic” and “desperate”. The Guardian says Sir Keir Starmer is “battling to get a grip” on a crisis, and that the sweeping changes are an attempt to restore order and “get back on the front foot”.

The Times calls it “The Great Rayner Reshuffle” and thinks its scale, just over a year after winning a landslide election, reflects deep concern about the government’s collapse in the polls and the rise of Reform UK. The Financial Times calls the reshuffle a “big gamble” – because many ministers have simply been moved to new jobs rather than been sacked, raising questions about whether their performance will actually improve.

The Daily Mirror describes the loss of Rayner as a “serious blow” for Sir Keir Starmer. It says the row will have caused damage to the government, stoking anger about politicians breaking the rules – but that her absence will be felt.

The paper says: “Angela Rayner is someone who could reach places that the PM can’t, which is part of why their opposites-attract partnership made sense.” The Sun says she was “cut adrift” but thinks the trouble she has caused the prime minister could get a lot worse. “To her legions of militant supporters,” it says, “she is far from a busted flush – she is a martyr, and soon quite possibly their Red Queen over the water”.

The Daily Telegraph says Downing Street hopes the reshaped top team can counter the threat from Reform UK, and even “take the fight” to Nigel Farage.

Farage is the focus for the Daily Express. It leads with his warning that Labour are “not fit to govern” – saying he “twisted the knife” in a stricken government with his claim that his party could win a general election in two years’ time.

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Trump's Department of War rebrand

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Review & Preview: Stocks Rally on Mounting Fears About Jobs

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Review & Preview: Stocks Rally on Mounting Fears About Jobs

Man dies after suspected shark attack in Sydney

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A man has died on a Sydney beach after being bitten by a suspected “large shark”, Australia’s New South Wales police have said.

In a statement, the police said emergency services pulled the man out of the morning surf onto the shore at Long Reef Beach – but he “died at the scene”.

“Two sections of a surfboard have been recovered and taken for expert examination,” the statement read.

Saturday’s incident has resulted in a string of closures in the popular area known as the Northern Beaches.

The state police said the emergency services acted after receiving reports shortly after 10:00am local time on Saturday (00:00 GMT) that “a man had suffered critical injuries”.

The victim’s identity was yet to be confirmed.

Local police officers and experts would work together to “determine the species of shark involved”.

The last deadly shark attack in the Sydney area in 2022, when Simon Nellist – a British diving instructor – was mauled by a great white shark.

Prior to that, there had not been a fatal attack since 1963.

Australia typically records about 20 shark attacks each year, with most in New South Wales and Western Australia.

Historically, dying from a shark bite is uncommon. In over a century of records, Australia’s shark attack mortality rate is 0.9 – less than one person per year.

Makary on reports of RFK Jr. linking Tylenol, autism: ‘We’re still in our discussions’

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Food and Drug Administration (FDA) commissioner Marty Makary on Friday said the agency has not finalized a forthcoming report about autism after the Wall Street Journal reported Health Secretary Robert F. Kennedy Jr. is expected to make an announcement linking Tylenol to the condition in children, urging mothers carrying children to forego the pain medication.

“The report is not written, so there’s nothing really to report, because we’re still in our discussions. I think the interest in Tylenol by The Wall Street Journal probably stems from the Harvard study on Tylenol and autism that came out recently,” Makary said during a Friday appearance on NewsNation’s “The Hill.”

“But our report is not yet written,” he added.

Makary said the president and Kennedy have made research about autism causes a “national priority.”

“We got to get to the bottom of it. There’s a lot of amazing research that we’re going through, and I think we’re going to have a pretty amazing report later this month,” he told host Blake Burman. 

Kenvue, the parent company for the producer of Tylenol, did not immediately respond to The Hill’s request for comment on the matter.

However, a company spokesperson told the Journal, “Nothing is more important to us than the health and safety of the people who use our products.” 

“We have continuously evaluated the science and continue to believe there is no causal link between acetaminophen use during pregnancy and autism,” the spokesperson added.

A 2024 report from the Journal of the American Medical Association found that Acetaminophen, the medication in Tylenol used to mitigate pain, was not associated with children’s risk of autism, ADHD, or intellectual disability in sibling control analyses when used during pregnancy. 

Researchers noted that associations observed in other models may have been attributable to confounding.

Despite their findings, hundreds of lawsuits alleging the drug created disorders in children have been filed in court, the Journal reported. Still, Makary said the FDA would wait to receive more data addressing concerns before publishing updated guidelines for medicine usage.

“You know, we are incredibly data driven, so we’re looking at the Harvard study and the other study out of Duke, and we’re trying to analyze the magnitude and the weight of that data. But that is not the primary focus of this report,” Makary told Burman on Friday.

Kennedy has pledged to release a report about the causes of autism in September.  

In recent weeks, Kennedy has faced intense scrutiny over his leadership and vaccine skepticism.

Eleven of the 12 Democrats on the Senate Committee on Finance have urged Kennedy to resign, while two of his family members made similar requests on Friday. 

Republican lawmakers, including Senate Republican Whip John Barrasso (R-Wyo.), an orthopedic surgeon, also criticized Kennedy for his rhetoric surrounding vaccines, deeming some of his comments a threat to public health.

“I support vaccines. I’m a doctor. Vaccines work,” said Barrasso, the Senate’s No. 2-ranking Republican leader, said at a hearing this week.

“Secretary Kennedy, in your confirmation hearings, you promised to uphold the highest standards for vaccines,” he said. “Since then, I’ve grown deeply concerned.” 

After Centers for Disease Control and Prevention (CDC) Director Susan Monarez was unexpectedly removed from leadership last week and four senior officials at the top public health agency resigned, lawmakers have raised questions about internal policies and practices under Kennedy. 

“Americans don’t know who to rely on,” he said. “If we’re going to make America healthy again, we can’t allow public health to be undermined.”

This Energy Dividend Stock Is Slashing a Massive 25% of Jobs. Is This a Sign to Stay Far, Far Away?

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ConocoPhillips (COP) is bracing for significant workforce reductions as it steps up efforts to tighten costs across its operations. The oil giant plans to cut 20% to 25% of its global employees and contractors, translating to approximately 2,600 to 3,250 roles worldwide.

A company spokesperson noted that most of these reductions are expected to be completed before the end of 2025, signaling a determined approach to streamline operations amid shifting market dynamics. The news sent COP shares down 4.4% on Sept. 3, dragging the stock 17.5% below its 52-week high of $116.08.

The company’s latest quarterly earnings report further emphasized its focus on cost efficiency, revealing over $1 billion in identified cost savings and margin optimization opportunities. In addition, ConocoPhillips agreed to divest its Anadarko Basin assets for $1.3 billion, reinforcing its strategy to bolster liquidity and concentrate on core operations.

With the workforce cutbacks underway and stock prices under pressure, investors are now scrutinizing the company’s position to determine the right stance on COP stock.

Headquartered in Houston, Texas, ConocoPhillips engages in the exploration, production, transportation, and marketing of crude oil, bitumen, natural gas, liquefied natural gas, and natural gas liquids. The company commands a market cap of nearly $118.2 billion and operates across six business segments: Alaska, Lower 48, Canada, Europe, the Middle East and North Africa, Asia Pacific, and Other International.

As the largest explorer and producer in the world in terms of proved reserves and production, the company maintains a dominant footprint in the energy sector. Despite the scale, COP stock has faced headwinds, sinking 11.7% over the past year and 3.4% year-to-date (YTD).

Yet recent market momentum has offered some relief, with the stock climbing 11.5% over the past three months.

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www.barchart.com

COP trades at 1.97 times sales, above the industry average but below its five-year historical range, suggesting a relative discount considering robust operational performance.

The company distributes an annual dividend of $3.12, delivering a yield of 3.3%. Its latest dividend of $0.78 was paid on Sept. 2 to shareholders of record on August 18, underscoring a commitment to returning capital to investors even amid strategic cost reductions.

US Open 2025: Novak Djokovic wants to play Grand Slams next year – but will his body let him?

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Djokovic has scaled down his playing time considerably over recent seasons, tailoring his schedule to focus on the majors.

Moving clear of Australia’s Margaret Court in terms of Grand Slam titles is the biggest ambition left in his mind.

His body is not, however, complying.

Djokovic might have defied logic to reach the semi-finals of all four majors this year, but a straight-set defeat by 22-year-old Carlos Alcaraz at Flushing Meadows was another example of his waning physical powers.

Alcaraz and 24-year-old Jannik Sinner have cleaned up the past seven major titles between them, having taken their games to a far superior level than anybody else on the ATP Tour.

“I can do only as much as I can do,” Djokovic said.

“It will be very difficult for me in the future to overcome the hurdle of Sinner and Alcaraz in best-of-fives at Grand Slams.

“I think I have a better chance in best-of-three, but best-of-five, it’s tough.

“I’m not giving up on Grand Slams in that regard. I’m going to continue fighting and trying to get to the finals and fight for another trophy at least.”

Republicans unveil slew of bills to overhaul DC criminal justice policies

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Republicans on Friday unveiled 14 bills intended to reduce local government autonomy and harshen punishments for youth and violent offenders in Washington, D.C amid President Trump’s crime crackdown in the nation’s capital.

“President Trump and House Republicans are committed to restoring law and order in our nation’s capital city. Under President Trump’s decisive leadership, crime in D.C. is now falling at an unprecedented rate,” House Oversight Committee Chair James Comer (R-Ky.) said in a statement announcing the bills. 

GOP lawmakers are proposing all that D.C. Council legislation undergo a 60-day congressional review period prior to its passage, while preventing council members from passing bills that are similar to measures disapproved by Congress.

The legislation also seeks to enact numerous adjustments to current law in the nation’s capital, including lowering the age for juveniles to be tried as adults from 16-years to 14 years of age for certain violent offenses, establishing a public website containing statistics on juvenile crime, and granting only Congress the authority to change existing minimum sentencing laws and sentencing guidelines.

A separate measure would repeal the Incarceration Reduction Act, which allows residents convicted of certain serious crimes committed before their 18th birthday to petition the court for a sentence reduction after serving at least 15 years in addition to other expungement opportunities. 

Another effort aims to codify components of President Trump’s March executive order regarding beautification efforts in the District of Columbia to ensure federal coordination on graffiti removal and restoration of Federal public monuments.

The committee will hold a markup for the proposed legislation on Sept. 10 at 10 a.m.

Comer said it’s lawmakers’ “constitutional duty to oversee District affairs and make D.C. safe again.”

“The House Oversight Committee stands ready to back the President’s swift action by advancing comprehensive legislative reforms that empower District law enforcement and tackle the escalating juvenile crime crisis head-on,” Comer said.

Local leaders, however, have rejected the notion that federal input is needed to mitigate crime in the nation’s capital. 

“As we know, the District has seen an over 50 percent decline in crime rates over the last two years, and while public safety remains our top priority, President Trump’s claim of an emergency in DC is wholly unjustified,” Council Member Janeese Lewis George (D) said in a statement on Trump’s D.C. takeover of the local police department and National Guard deployment early last month.

Her words have been echoed by her colleagues.

“We don’t need federal police patrolling our streets, intimidating our residents, shadowing our police. And we don’t need ICE in our community at all, disappearing our people and targeting folks just because of the color of their skin,” Council Member Brianne Nadeau (D) said in a statement.

“This has never been about public safety. This is about power, and control, and intimidation,” she continued. 

This week, Rep. Eleanor Holmes Norton (D-D.C.) and Sen. Chris Van Hollen (D-MD) both introduced bills advocating for the District of Columbia to have full control over the D.C. National Guard and the Metropolitan Police Department.

“D.C. residents are Americans, fully capable of governing themselves, including having full control of their police force and National Guard like residents of the states,” Norton said in a statement. “President Trump’s unprecedented federalization of the D.C. Police and his activation of the D.C. National Guard without D.C.’s consent underscore the necessity of D.C. statehood.”

On Thursday, D.C. Attorney General Brian Schwalb sued the Trump administration over the deployment of National Guard troops throughout the city.  

But on Tuesday D.C. Mayor Muriel Bowser signed an order Tuesday authorizing coordination between local police and federal forces extending beyond President Trump’s declared emergency in the nation’s capital.

The order creates the Safe and Beautiful Emergency Operations Center (SBEOC) which is expected to handle requests submitted to federal partners which include promoting traditional policing practices such as not wearing masks, clearly identifying their agency and providing identification during arrests and encounters with the public, according to Bowser. 

“I’m very proud of Washington,” Trump said after Bowser signed the Tuesday order. “It can be used as a template.”

The measure signed by the mayor outlines joint operations between local officials and the U.S. Marshals Service, FBI, U.S. Park Police, Drug Enforcement Administration (DEA), Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), U.S. Capitol Police and the U.S. Secret Service.

Heard on the Street Recap: The Goldman Touch

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Heard on the Street Recap: The Goldman Touch