On Friday, the three major indices closed lower. Weak August non-farm employment data reinforced market expectations for a September rate cut, but also raised concerns about a slowing US economy. The three major US stock indices showed mixed performance for the week, with the Dow Jones declining 0.32%, the Nasdaq rising 1.14%, and the S&P 500 gaining 0.32%.

**US Stocks** At the close, the Dow Jones fell 220.43 points or 0.48% to 45,400.86 points; the Nasdaq dropped 7.31 points or 0.03% to 21,700.39 points; the S&P 500 declined 20.58 points or 0.32% to 6,481.50 points. Broadcom (AVGO.US) surged 9.41%, while Tesla Motors (TSLA.US) gained 3.64%. The Nasdaq Golden Dragon China Index rose 1.16%, with Baidu (BIDU.US) climbing nearly 4% and Alibaba (BABA.US) advancing 3.57%.

**European Stocks** European stocks closed collectively lower. The EURO STOXX 50 index fell 0.47%, the UK's FTSE 100 index dropped 0.05%, France's CAC 40 index declined 0.31%, Germany's DAX 30 index fell 0.73%, and Italy's FTSE MIB index dropped 0.91%.

**Crude Oil** At the close, October delivery light crude oil futures on the New York Mercantile Exchange fell $1.61 to $61.87 per barrel, down 2.54%; November delivery Brent crude oil futures in London dropped $1.49 to $65.50 per barrel, declining 2.22%.

**Foreign Exchange** The US Dollar Index, which measures the dollar against six major currencies, fell 0.59% to close at 97.765 in late trading. At the close of New York forex markets, 1 euro traded for 1.1719 dollars, up from 1.1644 dollars in the previous session; 1 British pound exchanged for 1.3509 dollars, higher than 1.3426 dollars previously. 1 dollar bought 147.36 Japanese yen, down from 148.56 yen; 1 dollar purchased 0.7982 Swiss francs, lower than 0.8063 francs; 1 dollar traded for 1.3848 Canadian dollars, up from 1.3829 dollars; 1 dollar bought 9.3851 Swedish kronor, down from 9.4732 kronor.

**Cryptocurrencies** Bitcoin rose 0.2% to $110,911.82; Ethereum gained 0.46% to $4,317.77.

**Metals** US employment data strengthens rate cut expectations as spot gold breaks above $3,600 for the first time. The latest US non-farm employment data likely sealed the deal for a Federal Reserve rate cut at its next meeting in two weeks, with gold prices continuing to rise as spot gold surged above $3,600 per ounce. The Labor Department reported Friday that August job growth was 22,000, below economists' expectations of 75,000. Commerzbank Research analyst Barbara Lambrecht stated: "Gold has now finally broken above the upper limit of its trading range of recent months." Concerns about Fed independence and escalating geopolitical risks driving safe-haven demand also supported this rally. Following a 27% gain in 2024, gold has soared over 37% so far this year, driven mainly by a weakening dollar, central bank gold purchases, an easing monetary policy environment, and increased geopolitical and economic uncertainties. Independent metals trader Tai Wong noted: "Gold hits new highs with bulls focused on clearly weak employment trends translating into multiple rate cuts. Near-term or even medium-term, labor market concerns overshadow inflation concerns, making gold's outlook undoubtedly bullish. But unless there's a major market dislocation, I think gold is still far from $4,000."

**Macro News** US August non-farm payrolls show moderate growth, unemployment rate rises to highest level since 2021. US job growth cooled significantly in August, with the unemployment rate rising to its highest level since 2021, raising concerns that the labor market may be experiencing more serious deterioration. The Bureau of Labor Statistics reported Friday that non-farm payrolls increased by 22,000 in August. Revised data showed June employment contracted, marking the first decline since 2020. Following July's shocking report, these figures may intensify concerns about labor market durability. Job growth has slowed dramatically in recent months, with fewer job openings and slower wage growth, all putting pressure on broader economic activity. Traders continue to bet on a Fed rate cut at the September meeting. Policymakers will also see the latest CPI report before meeting.

Fed Chair candidate field narrows to three as Trump reiterates support for Hassett. President Trump said Friday he is considering other roles for White House National Economic Council Director Hassett. Trump stated he roughly knows who to choose as Fed Chair, with Hassett being one of three possible candidates. However, he refused to confirm Hassett's selection as Fed Chair. Trump noted that Treasury Secretary Bessent was previously the fourth candidate for Fed Chair, now narrowed to three. Walsh and Waller are other potential candidates.

Trump's manufacturing revival plan faces setbacks as employment data continues to contract. President Trump's promised manufacturing revival appears to be reversing. Bureau of Labor Statistics data Friday showed manufacturing employment fell for the fourth consecutive month in August, dropping 12,000 jobs and marking the longest consecutive decline since 2020. The sector has lost nearly 80,000 jobs over the past year. Manufacturing weakness reflects broader job market slowdown, which economists widely describe as a "low hiring, low firing" environment. But cracks are showing: nationwide job growth was only 22,000 last month, with unemployment rising to its highest level since 2021. This weak manufacturing data creates embarrassment for a White House promising industrial revival. In his inaugural address, Trump vowed that under his economic agenda "America will once again be a manufacturing powerhouse." Despite Trump preparing comprehensive tariff plans, he urges Americans to be patient, saying short-term pain may be necessary but long-term benefits are worth expecting.

Fed's Goolsbee: Need to review CPI data first before deciding rate policy. Chicago Fed President Goolsbee stated he has not yet decided what policy action to support at the September 16-17 Fed meeting, emphasizing the need to reference inflation data released next week. "I want more information. As the meeting approaches, I remain open-minded," Goolsbee said in Friday's interview. "We must also focus on inflation performance." "The milder the inflation data, the more I can comfortably focus on the labor market," Goolsbee said, "but recent inflation reports show price increases in services, so we need to confirm this is just temporary volatility rather than a more serious sign."

Treasury Secretary criticizes Fed independence crisis, calls for independent review. Treasury Secretary Bessent severely criticized the Federal Reserve for endangering its independence through "mission creep" and called for an independent review, including its monetary policy. Bessent wrote in a Friday opinion piece: "Independence centers on credibility and political legitimacy, both damaged by the Fed exceeding its mandate." The article expanded on Bessent's consistent argument that the Fed conducted "function-creep monetary policy experiments." He criticized the Fed for injecting excessive stimulus through quantitative easing after the 2007-09 financial crisis and over-regulating the banking system. Bessent stated: "Unconventional policies like quantitative easing should only be used in true emergencies in coordination with other federal government departments." After repeatedly calling for Fed Chair Powell to conduct internal reviews of non-monetary policy functions, Bessent expanded his vision for Fed investigation. He said "there must also be an honest, independent, non-partisan review of the entire institution, including monetary policy, regulation, communication, staffing, and research."

Economist: Canada's rate cut decision may depend on next inflation report. Latest data shows Canada's labor market continues deteriorating—about 100,000 jobs lost over the past two months. Central Bank of Alberta economist Charles St-Arnaud noted that while there are signs overall economic activity is no longer worsening, there's no strong rebound either, and sectors affected by US tariffs may continue struggling. This means the labor market may remain weak, with more job losses possible in coming months. The economist stated that economic weakness exceeding expectations increases September rate cut likelihood, but the final decision may still depend on the latest inflation data released the day before the Bank of Canada's September 17 policy meeting.

US-Japan trade agreement details revealed: $550 billion investment determined by Trump, Japan gets only 45 days to implement. According to the Financial Times, under an undisclosed memorandum signed by the US and Japan on Wednesday, as part of avoiding high tariff agreements, Japan has agreed to let Trump decide the direction of its $550 billion capital investment in the US. This document, effective when Trump formally signed the trade agreement Thursday, also stipulates Japan gets only 45 days to allocate funds for Trump-designated projects or face resumed high tariff penalties. This special clause Trump reached with Japan highlights extraordinary costs US trade partners pay for tariff relief. Japanese exports to the US originally faced 25% tariffs; the new agreement reduces rates to 15%. The memorandum stipulates that after the investment committee chaired by Commerce Secretary Lutnick submits potential investment projects, final decision-making authority belongs to Trump. The document also requires the investment committee to choose Japanese suppliers to "provide goods and services" for investment projects whenever possible.

**Individual Stock News** Trump criticizes EU's $3.5 billion fine on Google (GOOG.US, GOOGL.US), threatens Section 301 investigation. President Trump posted on social media: "Europe today again 'strikes' American excellence enterprises, fining Google $3.5 billion, forcibly stripping away funds that could have been invested in American investment and jobs. This fine is the latest move on top of numerous fines and taxes against Google and other American tech companies, extremely unfair! American taxpayers absolutely will not tolerate this behavior. As I previously emphasized, this administration absolutely will not allow these discriminatory acts. Take Apple for example, they were forced to pay a $17 billion fine, which in my opinion should not exist at all, and they should recover the money! We absolutely cannot allow this injustice against American innovative excellence to continue. If the situation cannot change, I will be forced to initiate Section 301 procedures to revoke these unfair penalties imposed on taxpaying American enterprises."

Qualcomm CEO admits Intel chip production technology not yet up to standard. Qualcomm (QCOM.US) CEO Cristiano Amon stated that Intel's (INTC.US) current production technology has not yet reached supplier standards for mobile processor manufacturers. Amon said on the program that if Intel can improve manufacturing processes to produce more energy-efficient chips, Qualcomm would consider cooperation. "Intel is currently not our choice," Amon admitted, "but we hope to include it in our options in the future." The CEO stated Qualcomm will continue cooperation with existing foundries TSMC and Samsung Electronics. As a chip design company, Qualcomm adopts outsourced production models like most industry companies. Former global largest chip manufacturer Intel is trying to reverse its decline by attracting external customers like Qualcomm while maintaining independent chip manufacturing operations.