Private Sector Jobs Data May Contribute To Early Strength On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Wednesday, 06 December 2023 08:56:33 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( Breaking: Price of Gold & Silver set to EXPLODE in 2023! Read Now... Attention investors and retirement savers...Investment experts and even mainstream news publications are predicting a windfall for gold and silver prices in 2023! This could be the year we see the value of precious metals like gold and silver EXPLODE! You won't want to miss out! [Reserve Your FREE Gold & Silver Kit Today!]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a higher open on Wednesday, with stocks likely to move to the upside following the lackluster performance seen in the previous session. Early buying interest may be generated in reaction to a report from payroll processor ADP showing private sector employment in the U.S. increased by less than expected in the month of November. ADP said private sector employment rose by 103,000 jobs in November after climbing by a downwardly revised 106,000 jobs in October. Economists had expected private sector employment to advance by 130,000 jobs compared to the addition of 113,000 jobs originally reported for the previous month. ?Restaurants and hotels were the biggest job creators during the post-pandemic recovery,? said ADP chief economist Nela Richardson. ?But that boost is behind us.? She added, ?The return to trend in leisure and hospitality suggests the economy as a whole will see more moderate hiring and wage growth in 2024.? The weaker than expected private sector job growth may add to recent optimism the Federal Reserve is done raising interest rates and could cut rates as early as next March. Potentially adding to the positive sentiment, the Labor Department also released a report showing the decrease in unit labor costs in the third quarter was revised to 1.2 percent from 0.8 percent. The drop in unit labor costs was expected to be revised to 0.9 percent. After recovering from an initial move to the downside, stocks showed a lack of direction over the course of the trading session on Tuesday. The major averages spent the day bouncing back and forth across the unchanged line before closing narrowly mixed. While the tech-heavy Nasdaq rose 44.42 points or 0.3 percent to 14,229.91, the S&P 500 edged down 2.60 points or 0.1 percent to 4,567.18 and the Dow dipped 79.88 points or 0.2 percent to 36,124.56. The initial weakness on Wall Street came as traders continued to cash in on recent strength in the markets amid concerns optimism about the outlook for interest rates has led to overbought conditions. While the Federal Reserve is widely expected to leave interest rates unchanged in the coming months, traders may need more evidence to solidify hopes of a rate cut in the near future. The subsequent rebound came as a Labor Department report may have reinforced those hopes, showing a bigger than expected decrease in U.S. job openings in the month of October. The report said job openings slid to 8.73 million in October from 9.35 million in September, falling to the lowest level since March 2021. Economists had expected job openings to edge down to 9.30 million. Meanwhile, a separate report released by the Institute for Supply Management showed service sector activity in the U.S. grew at a slightly faster rate in the month of November. The ISM said its services PMI crept up to 52.7 in November from 51.8 in October, with a reading above 50 indicating growth. Economists had expected the index to inch up to 52.0. On Friday, the Labor Department is scheduled to release its closely watched monthly jobs report, which could have a significant impact on the outlook for interest rates. Economists currently expect employment to increase by 185,000 jobs in November after rising by 150,000 jobs in October, while the unemployment rate is expected to hold at 3.9 percent. Oil service stocks came under pressure over the course of the session, dragging the Philadelphia Oil Service Index down by 2.3 percent to a five-month closing low. The weakness among oil service stocks came amid a decrease by the price of crude oil, with crude for January delivery falling $0.72 to $72.32 a barrel. A modest decrease by the price of gold also weighed on gold stocks, as reflected by the 1.9 percent loss posted by the NYSE Arca Gold Bugs Index. Natural gas, airline and networking also saw notable weakness on the day, while modest strength was visible among software and retail stocks. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It's a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( Private sector employment in the U.S. increased by less than expected in the month of November, payroll processor ADP revealed in a report released on Wednesday. ADP said private sector employment rose by 103,000 jobs in November after climbing by a downwardly revised 106,000 jobs in October. Economists had expected private sector employment to advance by 130,000 jobs compared to the addition of 113,000 jobs originally reported for the previous month. Largely reflecting a pullback in the value of exports, the Commerce Department released a report on Wednesday showing the U.S. trade deficit widened in the month of October. The Commerce Department said the trade deficit increased to $64.3 billion in October from a revised $61.2 billion in September. Economists had expected the trade deficit to rise to $64.1 billion from the $61.5 billion originally reported for the previous month. The wider trade deficit came as the value of exports slumped by 1.0 percent to $258.8 billion, while the value of imports inched up by 0.2 percent to $323.0 billion. The Labor Department also released a report on Wednesday showing U.S. labor productivity surged by more than previously estimated in the third quarter of 2023. The report said labor productivity shot up by 5.2 percent in the third quarter compared to the previously reported 4.7 percent jump. Economists had expected the spike in productivity to be upwardly revised to 4.9 percent. Reflecting the upward revision to productivity, the decrease in unit labor costs in the third quarter was revised to 1.2 percent from 0.8 percent. The drop in unit labor costs was expected to be revised to 0.9 percent. At 10:30 am ET, the Energy Information Administration is scheduled to release its report on oil inventories in the week ended December 1st. Crude oil inventories are expected to decrease by 2.3 million barrels after rising by 1.6 million barrels in the previous week. --------------------------------------------------------------- [3 Tiny Stocks Primed to Explode]( The world's greatest investor ? Warren Buffett ? has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential. We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns. [Click here for full details and to join for free.]( --------------------------------------------------------------- Europe European stocks are mostly higher on Wednesday amid bets of global interest rates peaking. Investors have shrugged off data from Destatis showing that German factory orders decreased for the first time in three months, mainly due to weaker demand for machinery and equipment. Factory orders tumbled 3.7 percent month-on-month in October, reversing the 0.7 percent increase in September. The euro is in a defensive mode, while Euro zone government bond yields have hit multi-month lows after ECB official Isabel Schnabel told Reuters further interest rate hikes are ?rather unlikely.? Germany's 10-year government bond yield, the benchmark for the euro area, traded down 0.5 basis points at 2.23 percent to hit a fresh 7-month low. While the U.K.?s FTSE 100 Index is up by 0.5 percent, the German DAX Index and the French CAC 40 Index are both up by 0.6 percent. Swiss drug major Novartis AG has jumped after an announcement that the U.S. Food and Drug Administration has approved its Fabhalta (iptacopan) as the first oral monotherapy to treat adults with paroxysmal nocturnal hemoglobinuria. Ocado Group has also shown a notable move to the upside after JPMorgan upgraded its ratings for the online commerce technology firm. TUI AG has also surged after the travel giant announced a potential move of its stock market listing from London to Frankfurt. Ten Entertainment Group, an operator of ten-pin bowling centers, has also spiked after it reached a deal with Neon Buyer Limited allowing its cash acquisition by Bidco for 412.5 pence per share. Meanwhile, British American Tobacco has slumped. The tobacco and nicotine giant scaled back its expectations for organic growth this year and announced a massive £25bn impairment charge. Clariant AG, a specialty chemicals company, has also fallen. The company announced that it will shut down its Sunliquid bioethanol production in Podari, Romania, and downsize its related operations in in Germany. Fresenius SE shares have also declined. The German healthcare group said it would utilize the governmental compensation and reimbursement payments for German hospitals, amounting to up to 300 million euros, as stipulated in the relief package. Merck KgaA shares have plunged after the science and technology major said its two-Phase III EVOLUTION clinical trials of evobrutinib in Relapsing Multiple Sclerosis did not meet their primary endpoints. --------------------------------------------------------------- [Sell every Stock except ONE]( Markets are down... But Jeff Clark couldn't care less because he ignores almost every stock in the market except ONE. He lives financially free trading this One Stock Once per month... [Ticker Revealed.]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks advanced on Wednesday as bond yields declined amid increased bets for a peak in global interest rates. The dollar held steady, while U.S. Treasury yields lingered close to a three-month trough as soft U.S. labor market data cemented views that the Federal Reserve is done raising rates. Brent crude futures fell to $77 a barrel on concerns about the effectiveness of the voluntary output cuts announced by OPEC+. China's Shanghai Composite Index slipped 0.1 percent to 2,968.93 after ratings agency Moody's slapped a downgrade warning on China's credit rating. Hong Kong's Hang Seng Index jumped 0.8 percent to 16,463.26, a day after hitting its lowest level of the year. Japanese shares rallied as domestic government bond yields dipped to the lowest since mid-August. The Nikkei 225 Index surged 2.0 percent to 33,445.90, while the broader Topix Index settled 1.9 percent higher at 2,387.20. Chip-related stocks topped the gainers list, with Advantest, Tokyo Electron, Shin-Etsu Chemical and Screen Holdings climbing 2-5 percent. Sakura Internet soared over 12 percent to extend gains for a third straight session after it was selected as a provider of the "government cloud" common information system infrastructure for central and local governments. Seoul stocks ended little changed, with the Kospi finishing marginally higher at 2,495.38 ahead of key U.S. data due this week. Automaker Hyundai Motor and its affiliate Kia ended in the green, while LG Energy Solution, Celltrion and Samsung Biologics all fell over 1 percent. Australian markets posted strong gains as Q3 GDP data beat forecasts and traders ramped up bets the RBA would start cutting rates. Australia's gross domestic product expanded 2.1 percent year-on-year in the third quarter, little changed from the previous quarter but beating the 1.8 percent growth forecast by economists. The benchmark S&P/ASX 200 Index jumped 1.7 percent to 7,178.40, marking its biggest single-day gain in more than a year. The broader All Ordinaries Index settled 1.6 percent higher at 7,386.70, led by real estate stocks. Across the Tasman, New Zealand's benchmark S&P/NZX-50 Index closed up 0.9 percent at 11,463.49. --------------------------------------------------------------- Do you have a full view of the market? Level 2 lets you see all of the orders to buy and sell shares, allowing you to see what is really going on in the market. If you don?t have this in your trading toolkit, you?re at a serious disadvantage. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are sliding $0.74 to $71.58 a barrel after falling $0.72 to $72.32 a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $2,046.90, up $10.60 compared to the previous session?s close of $2,036.30. On Tuesday, gold slipped $5.90. On the currency front, the U.S. dollar is trading at 147.18 yen compared to the 147.15 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.0791 compared to yesterday?s $1.0797. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49