Investors recoiled from risky assets on Thursday after a sharp drop in US employment for June set back hopes for a quick revival of the world’s largest economy.

The data hurt US and European equities and put pressure on commodity prices, while government bonds, the yen and the dollar were boosted by the rise in risk aversion. “If you were banking on the US driving a vigorous recovery, think again,” said Alan Ruskin, strategist at RBS Securities.