August Jobs Report
The US economy added 162,000 jobs in August, far above the roughly 53,000 expected, the strongest monthly gain since March. The unemployment rate held at 4.1%. June and July figures were revised up, and hiring broadened out, which suggests the summer labor market slowdown story may be fading.
Treasury yields jumped and stocks fell after the report. Traders now put about 60% odds on a quarter-point Fed rate hike at the September meeting. Next week's inflation data will decide the path: Fed officials have signaled they could hold if inflation cools or raise rates if it does not.
Tesla (TSLA) Robotaxi Under Investigation
Tesla's (TSLA) long-awaited cyber cab rollout is facing a federal investigation, coming just hours after the company put its first production robotaxis on public roads in Austin. The National Highway Traffic Safety Administration is reviewing how Tesla (TSLA) certified roughly 1,000 cyber cabs as meeting federal safety standards, even though the vehicles have no steering wheel or brake pedals.
Tesla (TSLA) is using the industry's self-certification process instead of seeking an exemption, which puts its regulatory strategy and its plans to expand robotaxis under close review. The probe points to a wider problem for the whole robotaxi industry: putting driverless technology on the road is one task, and proving it meets regulator safety rules is a separate one.
Next Week's Schedule
The trading week is shortened, with no trading Monday. Earnings due include Oracle (ORCL), Adobe (ADBE), RH (RH), Casey's General Stores (CASY), GameStop (GME), Chewy (CHWY), American Eagle (AEO), Macy's (M), and Kroger (KR).
Data on tap: consumer credit, existing home sales, and the monthly Treasury balance. The most important reports are PPI on Thursday and CPI on Friday. That inflation data is in sharp focus because it could shape the Fed's decision at its meeting the following week.
Apple (AAPL) Event
Apple (AAPL) holds its event Wednesday, September 9th. It will be John Ternus' first event as CEO. The expectation is a new iPhone 18, along with a foldable iPhone reportedly to be called the iPhone Ultra.
