The U.S. added a robust 315,000 jobs in August, slightly more than expected but still revealing a slowdown in hiring amid rising interest rates and slowing economic growth.
Bitcoin (BTC) gained 0.8% in the minutes after the report was released. The weaker growth gives the Federal Reserve cover to refrain from more aggressive interest rate hikes at the U.S. central bank's next monetary policy meeting in September, relieving downward pressure on risky assets from stocks to cryptocurrencies.
“Obviously we’re looking at how the Fed may or may not change their reaction function based off of this number,” said Path Trading Partners chief market strategist Bob Iaccino on CoinDesk TV. With the CME FedWatch Tool now showing a 64% chance of a 75 basis point rate hike at the next meeting, “it’s a little easier for markets and for crypto,” he said.
Economists had forecast 300,000 added positions. But it's a stark decrease from the 528,000 jobs added by the U.S. economy in July.