SP500 slides despite strong jobs report

October 8, 2018

By IFCMarkets

Dollar strengthening slows while unemployment falls

US equities extended losses on Friday as concerns about rising yields outweighed positive jobs report. S&P 500 ended 0.6% lower at 2885.57, closing 1% lower for the week. Dow Jones industrial average lost 0.7% to 26447.05. The Nasdaq fell 1.2% to 7788.45. The dollar strengthening halted as unemployment fell from 3.9% to 3.7% in September, 48-year low: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, was little changed at 95.786 and is higher currently. Futures on stock indices indicate lower openings today.

DAX 30 opens lower than other European indices

European stocks ended lower on Friday as bond yields rise persisted. The EUR/USD turned lower while GBP/USD rose on report EU was willing to offer UK ‘super-charged’ free-trade deal. EUR/USD is lower currently while GBP/USD is up. The Stoxx Europe 600 Index slid 0.9%, booking 1.8% loss for the week. The DAX 30 fell 1.1% to 12111.90. France’s CAC 40retreated 1% and UK’s FTSE 100 slumped 1.4% to 7318.54. Markets opened 0.2% – 0.6% lower today.

Chinese shares lead Asian indices retreat

Asian stock indices are falling today led by Chinese stocks after mainland markets opened following a week-long holiday. While markets in Japan are closed for a holiday futures on NIKKEI are lower as yen turned higher against the dollar. Chinese stocks are sharply lower despite continued services sector expansion in September and the reserve requirement cut by the central bank: the Shanghai Composite Index is down 4.8% and Hong Kong’s Hang Seng Index 1.4% lower. Australia’s All Ordinaries Index turned 1.4% lower despite persisting Australian dollar fall against the greenback.

Brent falls

Brent futures prices are extending losses today on reports US is considering granting waivers on Iran crude sanctions. Prices fell on Friday despite oil services firm Baker Hughes report the number of rigs drilling for oil in the US fell by 2 last week, third consecutive drop: Brent for December settlement fell 0.5% to close at $84.16 a barrel Friday, rising 1.7% for the week.

Market Analysis provided by IFCMarkets


Free Reports:

Get Our Free Metatrader 4 Indicators - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter





Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.





Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.