US STOCKS-S&P 500 posts biggest weekly decline since 2012
* Dow and Nasdaq also down for the week
* U.S. July payrolls below forecasts
* P&G up after sales plan; Tesla rises after results
* Indexes down: Dow 0.4 pct, S&P 0.3, Nasdaq 0.4 pct (Updates to close)
By Caroline Valetkevitch
NEW YORK, Aug 1 (Reuters) - U.S. stocks ended lower for a second day and the S&P 500 posted its biggest weekly decline since 2012 on Friday as concerns over Argentina's default continued to dog sentiment.
Data showing U.S. job growth slowed in July and the unemployment rate unexpectedly rose suggested the Federal Reserve has room to keep interest rates low for a while.
The jobs growth, which came in below economists' forecasts, relieved some investors worried about how soon the Fed could bump up interest rates after data on Thursday showed U.S. labor costs recorded their biggest gain in more than 5-1/2 years in the second quarter.
But concern remained over Argentina's debt problems after the country's default earlier this week. A U.S. judge on Friday criticized Argentina's decision to default and ordered negotiations between the country and holdout investors to continue. Continuación...