26 days ago • Posted by Paul de La Baume
Mixed #Jobs report, mild negative for #stocks. #markets #trading #S&P500
The US economy added 390k jobs in May, ahead of expectation, and the unemployment rate held steady at 3.6%, slightly higher than the 3.5% forecast. Average hourly earnings increased 0.3% in April, slightly lower than the 0.4% estimate and year-over-year wages increased 5.2%. The yield curve is steepening in response as the jobs report supports more rate hikes from the Fed in the future. Yields on the 10-year jumped 5.7 bp to 2.97%, its highest level in two weeks. The tech-heavy Nasdaq shed 1.4% in pre-market, slightly lower than before the jobs report. Market sentiment is weakening slightly after the Tesla announcement of a hiring freeze, cutting its workforce by 10%, and Musk's warning of a "super bad feeling" about the economy.