1. President Donald Trump said there would be no deal to end the U.S. war against Iran without an “unconditional surrender” by Iran.

2. Nonfarm payrolls unexpectedly fell by 92k. Private payrolls fell by a similar 86k, the largest decline since December 2020, partially driven by poor weather and the 31k nurses and other healthcare professionals that were on strike.

– Data for the previous two months were revised down.

– The three-month average for total job growth cooled.

– Here are the month-over-month changes in payrolls by sector.

• Unemployment rate edged up 10 bps to 4.4%, above consensus.

– Here is a rough attribution of how the unemployment rate has changed.

– The civilian labor force participation rate fell.

– The underemployment rate (U6) declined to 7.9%.

• Wage growth accelerated.

• The number of rate cuts priced in for 2026 rose after the weak jobs report.