After a bumpy week Wall Street closed with a mini rally on Friday, although it was inspired, in part, by some less-than-stellar economic news.<\/p>\n
S&P 500: +0.7%Dow: +0.5%Nasdaq: +1.2%<\/p>\n
US non-farm payrolls gained a much weaker than expected 29,000 jobs in September. Market observers had pencilled in a gain of 90,000.<\/p>\n
Compounding September’s labour market softness was a severe downward revision of jobs growth over the previous two months before that.<\/p>\n
The weaker-than-anticipated data pulled down expectations for a rate hike of at least 25 basis points from the Fed at its meeting at the end of October to around 23 from 64% a week earlier.<\/p>\n
“Today’s news was OK insofar as it means the economy isn’t roaring,” SummitTX Capital head of trading Robert Bernstone told Reuters.<\/p>\n
“But how good is that? Yes, it’s fine insofar as it takes the short-term rate hike off, but there is a concern over the economy, there is a concern over inflation, so cautious optimism is kind of where people are.”<\/p>\n
“But with that said, a potential squeeze into the end of the year, or at least for the next month or two, could happen just because it’s a hated rally.”<\/p>\n
US tech rally<\/p>\n
Tempered expectations for an impending rate hike helped boost rate-sensitive stocks such as the S&P 500 real estate index, which gained 0.4%, and the small-cap Russell 2000 index, which gained 0.9% to register its biggest daily gain in a month.<\/p>\n
Mega-cap stocks helped lead the advance, with Nvidia up 1.3% and Tesla gaining 4.7% to put them among the biggest boosts to the S&P 500.<\/p>\n
Despite Friday’s gains, both the Dow and S&P 500 recorded a fourth weekly decline in the past five, but the Nasdaq secured a weekly gain, its fifth in the last six.<\/p>\n
For the week, the S&P 500 shed 0.3%, the Nasdaq rose 0.5%, and the Dow fell 1.3%.<\/p>\n
ASX to open higher<\/p>\n
It might not feel like it, but the ASX 200 still managed to gain 0.2% over the week despite Thursday’s 2% stumble.<\/p>\n
Futures trading points to the ASX 200 gaining 0.3% this morning.<\/p>\n
US Treasury yields continued to edge higher despite the poor job numbers.<\/p>\n
The yield on benchmark US 10-year note rose 2.8 basis points to 5.26%.<\/p>\n
The 30-year bond yield rose 1.76 basis points to 5.62%, and the 2-year note yield, which typically moves in step with interest rate expectations for the Federal Reserve, rose 3.14 basis points to 4.81%.<\/p>\n
Despite the Greenback’s rise, the Aussie dollar made gains against it, up 0.3% to 69.53 US cents.<\/p>\n
The global oil benchmark Brent crude future was pretty flat, still holding above $US100\/barrel. The US benchmark WTI crude futures fell 2%.<\/p>\n
Gold lost ground on the session (-0.9% to $US4,142\/ounce) and over the week on the back of a stronger US dollar.<\/p>\n
Copper slipped on a soft turnover but is still around 16% higher over the past 6 months.<\/p>\n","protected":false},"excerpt":{"rendered":"After a bumpy week Wall Street closed with a mini rally on Friday, although it was inspired, in…\n","protected":false},"author":2,"featured_media":916426,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[2001,64,63,166,2009,99,2005,160,2010,2006,2002,1491],"class_list":["post-916425","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-asx","tag-au","tag-australia","tag-australian-dollar","tag-bitcoin","tag-business","tag-dow-jones","tag-live-blog","tag-live-update","tag-nyse","tag-share-market","tag-wall-street"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/916425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=916425"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/916425\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/916426"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=916425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=916425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=916425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}