Today’s jobs data may bookend the bad week in markets amid mounting signs of a slowdown coming to the U.S. For many investors, payrolls will cast a deciding vote. A temporary boost from census hiring is has helped non-farm payrolls expand by 136,000, with unemployment at a 50 year low of 3.5% and hourly earnings growth slightly below trend at 2.9%. The weaker-than-expected outcome is likely to bolster the chances of two more Federal Reserve rates cuts by the end of the year. (Bloomberg)
HP plans to cut as many as 9,000 jobs as part of broader plans at the computer and printer maker to reduce costs and simplify its business. In a statement the Palo Alto-based company said that it cut its global headcount by between 7,000 and 9,000 roles via redundancies and voluntary early retirements. That works out as a 16 per cent cut to its workforce based on a total headcount of 55,000 as of the end of 2018. HP expects to book about $1bn in restructuring charges between now and fiscal year 2022 as a result, but anticipates that the job losses will also generate about $1bn in savings by the end of 2022. (FT)
MGM Resorts has agreed to a settlement of up to $800m with survivors and family of victims killed in a 2017 mass shooting in Las Vegas, the deadliest ever on American soil. MGM Resorts, which owns the Mandalay Bay Resort, has agreed to pay between $735m to $800m to resolve legal cases against it, depending on the number of claimants who choose to participate in the settlement. It has not admitted any liability.
The settlement fund will be paid for by MGM Resorts’ insurers with a minimum of $735m. MGM Resorts has insurance coverage for $751m. (SA)
With Northwest Quadrant Wealth Management, a Registered Investment Advisor I am Josh Fenili.