Shares of banks and other financial institutions rose.
The July jobs report defied expectations of an economic slowdown and will make it harder for the Federal Reserve to slow the pace of rate hikes at its meeting next month. The Fed is trying to slow economic activity and hiring to bring down inflation, which is at 40-year highs.
Friday’s jobs report shows the economy is still running on many cylinders, making it more likely that bank officials will conclude they need to raise rates to higher levels and keep rates there. longer to cool the economy.
Struggling Chinese property giant China Evergrande is canceling a contract to build what was to be the world’s biggest football stadium and returning land use rights for the site to the government of Guangzhou in its province of origin. Evergrande said he would receive a refund equivalent to around $818 million and intends to use that money to help pay off a mountain of debt.
In earnings news, Allianz said second-quarter net profit fell but operating profit rose, confirming full-year guidance despite its struggling asset management business in tougher markets. turbulent.
The London Stock Exchange Group has reported a significant increase in its pre-tax profit for the first half of 2022 and announced that it is launching a share buyback program worth up to £750 million in total ( $911.9 million).
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