Stronger Than Expected Jobs Data May Lead To Continued Weakness On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Friday, 05 January 2024 08:55:45 [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 lower open on Friday, with stocks likely to extend the downward trend seen over the past several sessions. Concerns about the outlook for interest rates may continue to weigh on the markets following the release of a closely watched Labor Department report showing much stronger than expected job growth in the month of December. The Labor Department said non-farm payroll employment surged by 216,000 jobs in December after climbing by a downwardly revised 173,000 jobs in November. Economists had expected employment to increase by 170,000 jobs compared to the addition of 199,000 jobs originally reported for the previous month. Meanwhile, the report said the unemployment rate came in at 3.7 percent in December, unchanged from November. Economists had expected the unemployment rate to inch up to 3.8 percent. The stronger than expected jobs data may add to recent fears the Federal Reserve is not likely to begin lowering interest rates as soon as previously anticipated. A jump by treasury yields in response to the data may also weigh on Wall Street, with the yield on the benchmark ten-year note climbing above 4.0 percent. Stocks turned in a lackluster performance throughout much of the trading session on Thursday before eventually ending the day mostly lower. The Nasdaq and the S&P 500 finished the session in negative territory, although the narrower Dow closed slightly higher. The major averages moved to the downside going into the close, with the Nasdaq and S&P 500 hitting new lows of the session. The Nasdaq slid 81.91 points or 0.6 percent to 14,510.30 and the S&P 500 fell 16.13 points or 0.3 percent at 4,688.68. Meanwhile, the Dow inched up 10.15 points or less than a tenth of a percent to 37,440.34 even though shares of Walgreens (WBA) plunged after the drug store chain slashed its quarterly dividend. The lower close on Wall Street came as traders expressed caution ahead of the release of the Labor Department's closely watched monthly jobs report. Ahead of the Labor Department report, payroll processor ADP released a report showing private sector employment in the U.S. increased by more than expected in the month of December. ADP said private sector employment climbed by 164,000 jobs in December after rising by a downwardly revised 101,000 jobs in November. Economists had expected private sector employment to grow by 115,000 jobs compared to the addition of 103,000 jobs originally reported for the previous month. A separate report released by the Labor Department showed first-time claims for U.S. unemployment benefits fell by much more than expected in the week ended December 30th. The Labor Department said initial jobless claims declined to 202,000, a decrease of 18,000 from the previous week's revised level of 220,000. Economists had expected jobless claims to edge down to 216,000 from the 218,000 originally reported for the previous week. Energy stocks came under pressure over the course of the session, as the price of crude oil turned lower after seeing early strength. Reflecting the weakness in the sector, the Philadelphia Oil Service Index plunged by 2.2 percent and the NYSE Arca Oil Index tumbled by 1.8 percent. Notable weakness also emerged among retail stocks, as reflected by the 1.0 percent drop by the Dow Jones U.S. Retail Index. On the other hand, airline stocks regained ground following recent weakness, driving the NYSE Arca Airline Index up by 1.1 percent. --------------------------------------------------------------- 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]( A closely watched report released by the Labor Department on Friday showed employment in the U.S. jumped by much more than expected in the month of December. The Labor Department said non-farm payroll employment surged by 216,000 jobs in December after climbing by a downwardly revised 173,000 jobs in November. Economists had expected employment to increase by 170,000 jobs compared to the addition of 199,000 jobs originally reported for the previous month. Meanwhile, the report said the unemployment rate came in at 3.7 percent in December, unchanged from November. Economists had expected the unemployment rate to inch up to 3.8 percent. At 10 am ET, the Institute for Supply Management is scheduled to release its report on service sector activity in the month of December. The ISM?s services PMI is expected to edge down to 52.6 in December from 52.7 in November, although a reading above 50 would still indicate growth. The Commerce Department is also due to release its report on factory orders in the month of November at 10 am ET. Factory orders are expected to jump by 2.1 percent in November after plunging by 3.6 percent in October. At 1:30 pm ET, Richmond Federal Reserve President Thomas Barkin is scheduled to speak before the Maryland Bankers Association First Friday Economic Outlook Forum. --------------------------------------------------------------- [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 have fallen on Friday and eye their first weekly loss in eight as investors react to European inflation data and the U.S. jobs report. Fears of an escalation of the Israel-Hamas war into a broader regional conflict also dented investor sentiment. Euro area consumer price inflation accelerated in December, mainly due to the energy-related base effects, while the core measure remained strong despite slowing slightly. The consumer price index, or CPI, rose 2.9 percent year-on-year following a 2.4 percent increase in November, preliminary estimates from the statistical office Eurostat showed Friday. Economists had forecast 3.0 percent inflation. Core inflation, which excludes prices of energy, food, and alcohol and tobacco, slowed to 3.4 percent from 3.6 percent. Economists had expected the figure to ease to 3.5 percent. Meanwhile, German retail sales decreased 2.5 percent in November compared with the previous month, wiping out the 1.1 percent gain registered in October, according to the federal statistics office Destatis. Analysts had expected a 0.1 percent decrease. U.K. house prices increased for the third straight month in December, largely reflecting a shortage of properties, the results of a survey by the Lloyds Bank subsidiary Halifax and S&P Global showed earlier today. House prices climbed 1.1 percent month-on-month in December, faster than the 0.6 percent increase in November. Economists had expected a modest 0.1 percent rise for the month. While the French CAC 40 Index has slumped by 1.3 percent, the U.K.?s FTSE 100 Index and the German DAX Index are both down by 1.0 percent. Revolution Bars Group shares have tumbled in London. The company, which operates bars and gastropubs, has said that the sites in Derby, Reading, St Peters Liverpool and Wilmslow will close. Gold producer Endeavour Mining has also moved sharply lower after removing CEO Sebastien de Montessus with immediate effect. Sodexo S.A. shares have also fallen. The French food and facilities management services provider reported 3.1 percent higher revenue for the first quarter and reiterated its guidance for fiscals 2024 and 2025. Meanwhile, Clarkson, a provider of integrated shipping services, has jumped after saying that it expects its full-year pre-tax earnings above current market expectations following strong trading throughout the final quarter. --------------------------------------------------------------- [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 ended mostly lower in muted trading on Friday, with Chinese and Hong Kong markets leading regional losses on persistent concerns over the economic recovery. The dollar saw a broad upswing ahead of key U.S. payrolls data due out later in the day, while oil edged up in the wake of supply issues in Libya and lingering Middle East tensions. China's Shanghai Composite Index fell 0.9 percent to 2,929.18, a day after four Chinese bad-debt managers were downgraded by Fitch Ratings. Hong Kong's Hang Seng Index settled 0.7 percent lower at 16,535.33. Japanese shares eked out modest gains as the yen continued to weaken on growing doubts over early interest rate cuts by the Federal Reserve. The Nikkei 225 Index rose 0.3 percent to 33,377.42, with automakers pacing the gainers. Financials also climbed as traders hunted for higher dividend payouts. The broader Topix Index gained 0.6 percent to close at 2,393.54. Toyota Motor advanced 2.5 percent and Mitsubishi UFJ Financial Group added 2.7 percent. Seoul shares ended lower, dragged down by auto and energy stocks. The Kospi dipped 0.4 percent to 2,578.08, extending losses for a third straight session. Australian markets ended a choppy session on a tepid note as investors awaited domestic inflation data for clues on the central bank's next moves. The benchmark S&P ASX 200 Index finished marginally lower at 7,489.10, while the broader All Ordinaries Index closed 0.2 percent lower at 7,718.40. Across the Tasman, New Zealand's benchmark S&P NZX-50 Index ended flat with a negative bias at 11,748.48. --------------------------------------------------------------- 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 jumping $0.95 to $73.14 a barrel after falling $0.51 to $72.19 a barrel on Thursday. Meanwhile, after rising $7.20 to $2,050 an ounce in the previous session, gold futures are falling $16.30 to $2,033.70 an ounce. On the currency front, the U.S. dollar is trading at 145.70 yen versus the 144.63 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0901 compared to yesterday?s $1.0945. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. 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