CNBC Business News Update - Market Close: Stocks Lower, Labor Market Weakens Again In August, Mortgage Rates At Near 1 Year Low 6.29% 9/5/25

Episode Date: September 5, 2025

From Wall Street to Main Street, the latest on the markets and what it means for your money. Updated regularly on weekdays, featuring CNBC expert analysis and sound from top business newsmakers. Anchored by CNBC's Jessica Ettinger.

I'm Jessica Eddinger. CNBC, Wall Street opens Monday morning after a down day for stocks. Investors fearing that things really could be going wrong with the economy after the week, August jobs report. The Dow down 220 points, a half percent. JPMorgan Chase shares lower by 3 percent, leading that index down. The S&P 500 indexed down 20. The NASDAQ was down seven points, and video shares were down 2 and 3 quarters percent on Friday. Companies who shares hit fresh all-time highs include Google Parent Alphabet, AutoZone and O'Reilly Auto, Expedia, Ralph Lauren, Goldman Sachs, and Morgan Stanley. Gold closed at its 30th record high of the year on Friday at $3,653 an ounce gold is seen as a hedge when investors feel other things are too risky. Another week, jobs report from the Labor Department, this for August. Nob farm payrolls for the August job, job jobs report, 22,000.

The unemployment rate comes in at higher. 4.3. We haven't had a rate that high going all the way back to 2021. CNBC's Rick Santelli, it adds to a pile of data showing a weakening labor market. Investors are hoping it fuels the Fed to cut interest rates to respond. CNBC's Carl Kintania and Mad Money host Jim Kramer had this. You don't see any manufacturing. You don't see any of the construction jobs. Manufacturing lost 12.

And year to date, Jim, we've lost 78,000 manufacturing jobs this year. It's astounding. We're not seeing what I would have thought would be just a gigantic resource explosion. We're not seeing any pickup in oil and gas. Nothing is picking up. I don't know. You would expect it to see 100,000 manufacturing jobs created in the last. three months.

Sure. 100,000 easily. And here's a take from J.P. Morgan's David Kelly on CNBC. It's getting softer. And the economy is not in recession yet. You know, when we talk about recessionary signals, the most important thing is don't think about this like the pandemic recession or the great financial crisis. Those were mega recessions.

We are sort of slipping slowly into this here. Obviously, we think we're going to get some rate cuts out of this, but that's not going to fix anything. If you cut rates here, you're going to cut the interest income of retirees. You're going to tell people that more rate cuts come. So why bar an hour? Let's wait and see. The whole history of the 21st century is rate cuts don't stimulate growth. They didn't in any way after the great financial crisis. So don't look to the Fed to bail out the economy. Would-be homebu buyers outlooking this weekend or enjoying the lowest mortgage rates in almost a year now. This is the biggest one-day drop in rates since August of last year. The average on the 30-year fix dropped to 6.29%. That according to Mortgage News Daily. And that is the lowest rate since October 3rd.

of last year. So we're finally breaking out of this high 6% range that it's been in for many months. CNBC's Diana Oleg. On the coming weeks watch list, it's all about inflation. The CPI will be out Thursday, the Consumer Price Index for August. McDonald's brings back those extra value meals on Monday. Americans are dealing with increasing inflation. The U.S. will mark 24 years since the 9-11 terrorist attacks on September 11th. That's Thursday. at Enger, CNBC. You can stream squat box. Stream squawk on the street.

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