NEW YORK (AP) — Oil is falling after the government reported Friday that jobs growth in the U.S. stalled last month.

Benchmark crude $2.64, or 3 percent, to $86.30 after the Labor Department said employers stopped adding jobs in July. The unemployment rate remained at 9.1 percent.

The sagging jobs market raised concerns that the nation could slide back into recession and demand for oil and gasoline will decline.

Oil was also pushed down as the dollar rose against the euro and some other currencies. Oil is priced in dollars and becomes less attractive to buyers with foreign currency as the dollar get stronger.