News
US markets trade sideways ahead of key payrolls data
Markets wobbled as investors remained on the sidelines ahead of crucial May nonfarm payrolls numbers due Friday U.S. time.
The S&P 500 just fell into the red, closing down 0.02%. The Nasdaq also finished in the red, down 0.09 percent and the Dow Jones was the only major indices to end in positive territory, finishing 0.20 percent higher.
Investors’ focus will now turn to Friday’s May nonfarm payrolls report as investors await signs of a weaker labor market, which would support the Fed’s case for rate cuts. . Economists consulted by Dow Jones expect an increase of 190,000 jobs.
In company news, Lululemon closed up 4.8% after the athletic apparel maker reported better-than-expected first-quarter results. Five Below fell 10.6 percent after reporting disappointing results and softer-than-expected guidance.
As far as US sectors are concerned, the worst performing sector was utilities, which ended with a decline of 1.03 percent. The best performance was Consumer Discretionary, which closed 0.97% higher.
In European news, the ECB announced a much-anticipated 25 basis point cut in the banks’ base rate. The base rate is now 3.75%. Money markets registered a downward movement of 25 basis points at the June meeting. It is the first cut since September 2019, when the deposit facility was in negative territory.
Lagarde acknowledged to journalists that the outlook for inflation has improved “significantly” and stated that there is a “strong probability” that the ECB is moving into a “reduction phase”.
However, she declined to confirm that such a gear shift has now happened.
Futures
SPI futures point to a 0.2% gain.
Coin
One Australian dollar at 7:20 am was buying 66.68 US cents.
goods
Gold added 0.65 percent. Silver gained 4.30 percent. Copper rose 1.56%. Oil gained 2.00 percent.
Figures around the globe
European markets closed higher. London’s FTSE rose 0.47 percent, Frankfurt gained 0.41 percent and Paris closed 0.42 percent higher.
Turning to Asian markets, Tokyo’s Nikkei gained 0.55 percent, Hong Kong’s Hang Seng rose 0.28 percent, while China’s Shanghai Composite closed 0.54 percent lower.
Yesterday, the Australian share market closed up 0.68% at 7,821.77.
Dividends payable
PT Aneka Tambang Tbk (ASX:ATM)
Tamawood Ltd (ASX:TWD)
Tasmea Ltd (ASX:TEA)
Sources: Bloomberg, FactSet, IRESS, TradingView, UBS, Bourse Data, Trading Economics, CoinMarketCap.
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