Markets buoyant after mixed US jobs report - 4.9.2023

The Dollar strengthening has halted today. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, ended 0.8% higher on Friday.

Both GBP/USD and EUR/USD continued their sliding on Friday as SP Global’s final Manufacturing PMI report confirmed euro zone manufacturing sector remained in contraction in August. Both euro and Pound are higher against the Dollar currently. USD/JPY reversed its retreating on Friday while AUD/USD reversed its climbing with the yen lower against the Greenback currently and the Australian dollar higher.

US stocks indexes futures are up currently after closing mostly higher on Friday as the Bureau of Labor Statistics reported US unemployment ticked up to 3.8% in August while average hourly wages rose less than expected. US markets will be closed today for Labor Day holiday. The three main US stock benchmarks recorded daily returns in the range from -002% to 0.33% on Friday as Institute for Supply Management Manufacturing PMI data showed economic activity in the US manufacturing sector contracted in August for the tenth consecutive month following a 28-month period of growth.

European stock indexes futures are higher currently after closing mixed on Friday as autos stocks led losses after a survey from Germany’s Ifo Institute indicated a deterioration in sentiment among automakers. Asian stock indexes futures are advancing today with Hong Kong’s Hang Seng index leading gains buoyed by property stocks as Country Garden Holdings earned bondholder approval to extend some debt deadlines, averting a potential default.

Brent is edging up currently. Oil prices ended higher on Friday on expectations of continuing global crude oil supply tightness with Saudi Arabia widely expected to extend a voluntary 1 million barrel per day oil production cut into October. The energy services firm Baker Hughes reported the total count of active US oil rigs was unchanged at 512 last week. The US oil benchmark West Texas Intermediate (WTI) rose 1.7% and is higher currently. Brent gained 1.9% to $88.49 a barrel on Friday. Brent rose 4.8% and WTI gained about 7.2% for the week.