Gold Member
Posts: 24638
Liked By: 14428
Joined: 16 Apr 12
Followers:
6
Tipsters
Championship:
Player
has
not started
|
US market looks to key jobs data on Friday | | | | | | From: NetResearch Asia [mailto:postman@netresearch-asia.com]
Sent: Thursday, July 04, 2013 10:06 AM
To: NetResearch Asia 4 Jul 2013
Subject: US market looks to key jobs data on Friday
Pre-Market Open Commentary for 04 July 2013
( CO. REG. NO.
199904258C )
DJIA: 14988.55 +56.14
Nasdaq Composite: 3443.67 +10.27
Good morning, fellow investors
US stocks reversed earlier losses to close modestly higher on Wednesday as
market looked ahead to key employment data due on Friday and brushed off
ongoing turmoil in Egypt, political uncertainty in Portugal and slowing
growth in China.
The US economic data released were mixed, offering little market direction.
However, market remained cautiously optimistic on the jobs market following
a series of employment data signaling a continuous, albeit slow, recovery
in the job market. An ADP report showed that private companies added more
new jobs in June than expected, hiring 188,000 new workers while the
Challenger report showed that the number of job cuts in 1H2013 improved
over 1H2012. Initial claims for unemployment remained relatively stable,
falling 5,000 to 343,000 last week, which was below expectations of 350,000
claims and the four-week moving average declined to 345,500, a drop of 750
from the previous week.
On a weaker note, US trade deficit widened in May to US$45.03 bil from US
$40.15 bil in April, signaling potential downgrades to 2Q2013 GDP
estimates. Additionally, the Institute for Supply Management (ISM) index
for services sector fell to 52.2 in June, the weakest level since Feb 2010,
from 53.7 in May as a slowdown in new orders offered little optimism for
growth. The reading was also below expectations of a gain to 54. On a
brighter note, the services sector provided more employment, reaffirming
signs of a recovery in the jobs market.
Although market focused on the US employment data, the threat of a
political turmoil in Portugal sparking another euro zone debt crisis is an
area of concern. On Wednesday, Portugal's 10-year government bond yields
hit 8% and the country's benchmark stock index shed more than 6% after both
Portuguese foreign and finance ministers resigned in protest against the
lack of support for austerity measures. However, the prime minister held
firm to his role to batter and restore the country’s financial health.
The three major US indices rose modestly with the Dow Jones Industrial
Average rising 0.38% while the S&P 500 edged modestly higher by 0.08% to
close at 1615.41. The Nasdaq rose 0.30%.
The US market is closed on Thursday for Independence Day public holiday.
Crude oil for August delivery soared to a 14-month high, gaining US$1.64 a
barrel, or 1.65%, to settle at US$101.24 a barrel following a decline in
crude stockpiles, and on concerns that unrest in Egypt could disrupt oil
supplies.
In Singapore today:
Singapore shares tumbled on Wednesday following a weak overnight close on
Wall Street and as dismal data from China’s services sector, which
accounted for close to half of China’s economy in 2012, revived fears of an
economic slowdown in the world's second-largest economy. Growth in China's
purchasing managers’ index (PMI) for the services sector declined to 53.9
in June led by a seasonal fall in the construction industry; the June
reading was the weakest level in nine months, and declined from 54.3 in
May. At closing, the benchmark STI index shed 43.83 points, or 1.38%, to
close at 3129.49. For every stock that rose, 2.9 fell. Turnover was 2.0 bil
shares with a value of $1.2 bil traded.
According to Singapore Institute of Purchasing & Materials Management,
Singapore’s manufacturing sector bucked the regional trend of weakening
factory activity in June as the PMI rose to 51.7 a two-year high, from 51.1
in May. However, there are signs of a potential pullback in manufacturing
activity in 3Q2013 as new domestic and export order have slipped. In June,
the PMI signaled that manufacturing activities in China, South Korea and
Taiwan are all in contraction.
Expect market to rebound today from previous day’s sharp losses and
following cautious optimism displayed on Wall Street. However, gains are
likely to be modest on caution ahead of key jobs data in the US on Friday
while rising political tension and uncertainty in Egypt and the euro zone
are also expected to weigh on risk appetite.
1. Chartzones – 4 July 2013 (premium)
Consumer, Telecoms, Banks and Transport Stocks [read the report]
2. Chartzones – 3 July 2013 (free)
Technology Stocks [read the report]
3. Chartzones – 2 July 2013 (free)
Media, China Stocks and Technology Stocks [read the report]
4. Property Sector Note (premium)
MAS introduces new Debt Servicing Ratio framework [read the report]
5. Singapore Banks (premium)
New Debt Servicing Framework [read the report]
6. Kevin's blog: Armstrong calls for trading halt amid possible
delisting discussions........this is my sixth stock pick that is
facing a possible delisting (free)
[read the report] | |
....
|
Main Menu >
Stocks, FX, Cryptocurrencies & Commodities Forum >
04/07US market looks to key jobs data on Friday
1
) 
Find all Topics Started by stand up n wake up
Find all Posts by stand up n wake up
Follow / Unfollow
PM stand up n wake up
04-Jul 2013 Thursday
11:36 AM (3952 days ago)
0 Likes
Like
