The yield on the 10-year Treasury note plunged nearly 20bps from session highs to 4.25% on Friday, testing the lowest in three months, as revised data reflected a significantly weaker labor market than previously thought. Nonfarm payrolls rose by 73,000 in July, well below market expectations of a 110,000, while 258,000 job gains were removed from data in the previous two months due to revisions. The new figures reflected a greater impact of tariff threats and uncertain economic policy on the US labor market in the last months, erasing the earlier view that the US labor market was robust. Consequently, markets reconsidered their expectations of a Fed cut in September and two rate cuts this year. In the meantime, President Trump raised tariffs on Switzerland to 39% as of next week, while tariffs on major trading partners EU, Japan, and Korea started being enforced today. Also lowering yields, the Treasury announced it would increase the volume of buybacks on notes, bonds, and TIPS.