US stock futures fell Friday morning, with losses gaining some momentum after a weaker-than-expected monthly employment report. However, soft data was seen as insufficient to derail the Federal Reserve’s intention to end accommodative policies and eventually raise rates in 2022 to tackle inflation.
What is happening
Dow Jones Industrial Average DJIA on Thursday,
S&P 500 SPX, down 171 points, or 0.5%, at 36,236
slipped 0.1% and the Nasdaq Composite comp,
Gives a discount of 0.1%. The Nasdaq is now down 6% from its November peak.
what is driving the market
The US economy added 199,000 jobs in December, the Labor Department reported Friday, well below economists’ forecast by The Wall Street Journal for growth of 422,000 for the month, highlighting some of the impact of Omicron’s spread on the jobs market. inserted.
Market participants, however, are likely to view the report as lackluster, but not harmful enough to give central bankers a reason to express the plan to further accelerate fiscal policy as soon as possible.
The US unemployment rate fell from 4.2% to 3.9%, while average hourly earnings jumped 19 cents, or 0.6%, to $31.31, proving a bright spot for some.
The report comes after private sector readings rose by 807,000 in December, According to the ADP National Employment Report released on Wednesday, marking the strongest gain since May.
“Friday’s weaker-than-expected jobs report was surprising given the strength in Wednesday’s ADP Private Payrolls report, but we remind investors that monthly jobs numbers are subject to revision in the coming months,” said JEGA Financial CEO J. wrote Pastricelli, in the email comments.
The data also comes over the course of a week showing the yield on the 10-year Treasury TMUBMUSD10Y,
Boom – pressure on growth stocks and consolidating financial position.