U.S. payrolls unexpectedly fall 23,000 in July, cooling Fed rate-hike expectations

U.S. nonfarm payrolls unexpectedly fell by 23,000 in July, the first monthly decline in years, heightening concerns about cooling employment and reducing expectations of near-term Federal Reserve rate hikes. The Labor Department reported payrolls declined after June's downwardly revised 20,000 drop, far below economists' forecast of 83,000 additions. May and June job growth was revised down by 103,000 combined; unemployment fell to 4.1% as labor-force participation dropped. Losses were broad-based, with financial activities shedding 14,000 jobs and retail down 19,000, while health care added 22,000. Wage growth stayed subdued, and traders cut September rate-hike odds to about 44 percent.