U.S. markets climbed higher after positive labour data released on Friday. The Nonfarm payrolls report showed that 236,000 jobs were created during the past month which was much higher than the expected 215,000. The unemployment rate was also positive and dropped to 5.9%, its lowest rate since 2008. As usual, this positivity further increased speculation that the Fed could increase interest rates sooner than expected. Stocks rallied with the S&P 500 gaining 1.12% (its biggest daily gain in 2 months). The Dow Jones added 1.24% which was its biggest gain in 7 months.
Asian markets were boosted as markets followed the direction of U.S. markets. The Nikkei added 1.16% as the Dollar rallied following the labour data. The Dollar climbed to ¥109.64 compared to ¥108.46. The Hang Seng climbed 1.09%, its biggest gain in one month, with tension declining in the city as protests declined and businesses re opened. The Hong Kong government and protest leaders met to discuss how to resolve the current disagreements. Casino and banking shares rebounded with gains seen in companies such as HSBC, Chong Hing Bank and the Bank of East Asian climbing.
European markets are higher today as investors now believe the European Central Bank will begin to inject more stimulus into the economy in response to recent bad data and fears of deflation. The speculation increased after German factory orders were released this morning and plunged the most since 2009, dropping 5.7%. This was a much bigger decline than the expected 2.5%. This data underpinned the slowdown in the economy which Mario Draghi affirmed he would fight. The DAX is up 0.94% and the CAC 40 is up 0.28%. The FTSE 100 is up 0.48% as Tesco added 2.1% after the company announced that two directors will join their board. The company has hired a former boss of Ikea and a Chief Executive from Compass after revealing two weeks ago that profits had been over estimated by 250 million.
October 6, 2014 – Indices News
U.S. markets climbed higher after positive labour data released on Friday. The Nonfarm payrolls report showed that 236,000 jobs were created during the past month which was much higher than the expected 215,000. The unemployment rate was also positive and dropped to 5.9%, its lowest rate since 2008. As usual, this positivity further increased speculation that the Fed could increase interest rates sooner than expected. Stocks rallied with the S&P 500 gaining 1.12% (its biggest daily gain in 2 months). The Dow Jones added 1.24% which was its biggest gain in 7 months.
Asian markets were boosted as markets followed the direction of U.S. markets. The Nikkei added 1.16% as the Dollar rallied following the labour data. The Dollar climbed to ¥109.64 compared to ¥108.46. The Hang Seng climbed 1.09%, its biggest gain in one month, with tension declining in the city as protests declined and businesses re opened. The Hong Kong government and protest leaders met to discuss how to resolve the current disagreements. Casino and banking shares rebounded with gains seen in companies such as HSBC, Chong Hing Bank and the Bank of East Asian climbing.
European markets are higher today as investors now believe the European Central Bank will begin to inject more stimulus into the economy in response to recent bad data and fears of deflation. The speculation increased after German factory orders were released this morning and plunged the most since 2009, dropping 5.7%. This was a much bigger decline than the expected 2.5%. This data underpinned the slowdown in the economy which Mario Draghi affirmed he would fight. The DAX is up 0.94% and the CAC 40 is up 0.28%. The FTSE 100 is up 0.48% as Tesco added 2.1% after the company announced that two directors will join their board. The company has hired a former boss of Ikea and a Chief Executive from Compass after revealing two weeks ago that profits had been over estimated by 250 million.
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