Every weekend, I recap “news you can use” from the week — a handful of quotes from major (and often expensive) financial news sources — so you can stay up to date on the news that affects your money without spending a dime and in less than a minute.
Here’s an overview of what happened this week.
Global bond sell-off likely not over yet, Mohamed El-Erian tells CNBC (Sept. 4, CNBC):
Global government bonds have been gripped by a sharp sell-off this week, with yields on securities issued by various major governments rising to multi-decade highs amid mounting concerns over inflation and rate hikes.
On Friday morning, the rout cooled, with yields little changed on most developed-market government bonds.
U.S. payrolls rose 162,000 in August, much more than expected; unemployment rate at 4.1% (Sept. 4, CNBC):
Nonfarm payrolls rose a seasonally adjusted 162,000 for the month while the unemployment rate, as expected, held steady at 4.1%, the Bureau of Labor Statistics reported Friday. Economists surveyed by Dow Jones had been looking for a payrolls increase of 53,000.
August’s total was the strongest monthly gain since March.
US Trade Gap Widens to Largest Since Early 2025 on AI Push (Sept. 3, Bloomberg):
The US trade deficit widened sharply in July to the largest since early 2025, reflecting a surge in imports of computers and other technology equipment.
The gap in goods and services trade grew 24.4% from the prior month to $88.6 billion, Commerce Department data showed Thursday. The value of imports increased 2.8% and exports fell 2.1%.
US labor market remains stable; services input price rises point to elevated inflation (Sept. 3, Yahoo):
Initial claims for state unemployment benefits climbed 2,000 to a seasonally adjusted 206,000 for the week ended August 29, the Labor Department said. Economists polled by Reuters had forecast 205,000 claims for the latest week.
Private payrolls rose by 38,000 in August, less than expected, ADP reports (Sept. 2, CNBC):
Private companies added 38,000 jobs in August, down from 46,000 and below the estimate for 47,000, for the slowest month since January, according to ADP.
Three categories accounted for most of the job growth: education and health services, leisure and hospitality and construction. Manufacturing saw a loss of 17,000 jobs.
Bond Sell-Off Threatens to Squeeze Borrowers Around the World (Sept. 1, New York Times):
As rising oil prices compound worries about inflation, bond yields are testing fresh highs, squeezing government budgets and raising interest rates on a wide range of consumer and business loans. The yield on 10-year U.S. Treasury notes, perhaps the world’s most influential interest rate, reached its highest since January 2025, and the 30-year yield continued to hover around a two-decade high.
Global oil prices surge to a 6-week hight after the U.S. strikes Iran in Hormuz (Sept. 1, MarketWatch):
West Texas Intermediate’s contract for October delivery advanced 2.5% to $87.95 a barrel, while Brent crude’s November contract climbed more than 2% to $92.38 a barrel. It brings both the U.S. and the international benchmark up to their highest levels in almost two weeks, according to Dow Jones Market Data.
This follows the news that two oil supertankers were hit by projectiles in the Strait of Hormuz, according to a Bloomberg report based on information from maritime risk management consultant Marisks.
U.S. Job Openings Rose in July as Hiring Ticked Down (Sept. 1, Wall Street Journal):
“The ratio of openings to the number of unemployed is still above 1, another indication that the labor market is roughly in balance,” wrote Nancy Vanden Houten, lead U.S. economist at Oxford Economics.
Global oil prices settle above $90 a barrel after U.S. and Iran exchange fire for the first time in a month (Aug. 31, MarketWatch):
Treasury Secretary Scott Bessent said Monday that Iran is responding with military aggression because U.S. sanctions are inflicting economic pain on the regime. “I would think that they are lashing out kinetically because they are losing economically,” he told reporters at a meeting of G-20 finance ministers and central-bank governors in North Carolina.