U.S. job growth exceeds expectations; unemployment rate falls to 3.5%.

WASHINGTON, Aug 5- U.S. employers hired many more workers than expected in July and the unemployment rate fell to a pre-pandemic low of 3.5%, the strongest evidence yet that the economy was not in recession. Nonfarm payrolls added 528,000 jobs last month, the Labor Department reported Friday in its employment report, closely watched by markets.