Global Markets:
- Asian Stock Markets : Nikkei down 0.10%, Shanghai Composite up 1.09%, Hang Seng up 0.44% ASX up 0.70%
- Commodities : Gold at $2322.5 (0.65%), Silver at $27.23 (2.26%), Brent Oil at $83.45 (0.68%), WTI Oil at $78.66 (0.65%)
- Rates : US 10-year yield at 4.49, UK 10-year yield at 4.26, Germany 10-year yield at 2.49
News & Data:
- (USD) Non-Farm Employment Change 175K vs 238K expected
- (USD) Unemployment Rate 3.9% vs 3.8% expected
Markets Update:
In the Asia-Pacific region, markets followed Wall Street’s upward trend on Monday, buoyed by a softer-than-expected U.S. jobs report that raised hopes for potential rate cuts by the Federal Reserve. Investors are eagerly awaiting the Reserve Bank of Australia’s rate decision and China’s April trade data later in the week.
ING analysts noted that the RBA meeting is of particular interest, given recent inflation data showing a rise in price growth. Despite this, they predict no change to Australia’s current rate, citing a softer economy compared to the U.S., especially with significant labor market softening.
Monday saw the release of key PMI readings for Hong Kong by S&P Global, alongside service PMI data for mainland China and India. Japan and South Korea’s markets were closed for a public holiday.
In the U.S., Friday’s stock market surge was fueled by a jobs report indicating slower-than-expected job growth in April. Despite the addition of 175,000 jobs, below the anticipated 240,000, the unemployment rate rose to 3.9%, while wage figures came in lower than expected—a factor seen as positive for inflation. The S&P 500 surged by 1.26%, the Nasdaq Composite rallied by 1.99%, and the Dow Jones Industrial Average gained 1.18%.
Upcoming Events:
- 8:00 AM GMT – EUR Final Services PMI
