U.S. homebuilders rise as yields tumble after weak jobs report

Shares of U.S. homebuilders rising and bucking broader selloff in equities on Fri in wake of soft payrolls report

U.S. job growth slowed more than expected last month while June's data was revised sharply lower, signaling a deterioration in labor market conditions

Odds that the Fed cuts interest rates by 25 basis points at its next meeting in Sept have risen to about 80%, according to the CME's FedWatch Tool, sending benchmark U.S. 10-year yield US10YT=RR tumbling to around 4.24%

Falling yields can potentially lead to reduced mortgage rates, benefitting homebuilders by making homes more affordable, though economic uncertainty could weigh

Shares of D.R. Horton DHI.N up 3.7%, while Pultegroup PHM.N and Lennar LEN.N both up nearly 3% vs 1.3% drop in S&P 500 .SPX

S&P 1500 Homebuilding index .SPCOMHOME gaining >2%, PHLX Housing Index .HGX up about 1% on the session