The key US employment data did come in under expectations on Friday but was close enough that the market is now pricing in a much higher chance of a 25-basis point cut than before the data. US Stock indices took a hard hit, with tech stocks again taking the brunt of the move and the dollar rallied.
Yields dropped with both the 2-year and 10-year hitting multi-month lows despite that change in rate cut expectations, moving higher for this month. Oil also dipped hard again to close out a tough week on fresh lows and Gold moved back down under the key $2,500 level.
It’s a relatively quiet start to a big trading week today with just major Chinese numbers on the cards in the Asian session that will have a significant impact on markets.
| Market | Change | Close |
| Dow | -1.01% | 40,345 |
| S&P | -1.73% | 5,408 |
| Nasdaq | -2.55% | 16,690 |
| USD | +0.2% | 101.20 |
| US Treasury – 2 Year | -10.6 bps | 3.646% |
| US Treasury – 10 Year | -2.8 bps | 3.708% |
| Oil – Brent | -2.24% | $71.06 |
| Oil – WTI | -2.14% | $67.67 |
| Gold | -0.77% | $2,497.41 |
Today’s Events (AEST):
Asian Session
- 11.30 am – China – CPI Data
- 11.30 am – China – PPI Data