Equities mixed after US hiring slows - 5.9.2022

The Dollar strengthening has resumed currently. 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, slipped 0.1% on Friday after Census Bureau report US factory orders declined 1% over month in July after 1.8% increase the previous month.

EUR/USD halted is sliding Friday while GBP/USD resumed its retreating as Eurostat reported industrial producer price growth in euro zone rose to an annual 37.9% in July, up from 36% in June. Both Pound and euro are lower against the Dollar currently. USD/JPY ended little changed Friday while AUD/USD reversed its sliding with both the yen and Australian dollar lower against the Greenback currently.

Futures on US equity benchmarks are up currently after US stocks closed down on Friday as data showed the US economy added 315,000 jobs last month, in line with expectations, but lower than the 526,000 posted in July. The three main US stock benchmarks recorded daily losses ranging from 1.1% to 1.3% - registering losses for the week too.

European stock indexes futures are mixed currently after ending higher on Friday with auto shares leading gains. Asian indexes futures are mostly higher today with Japan’s Nikkei Index leading gains while data showed that China’s services sector grew more than expected in August.

Brent is extending gains ahead of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, a group known as OPEC+, meeting today. Traders are gauging the possibility OPEC+ may decide to cut production to bolster prices, despite supplies remaining tight. Prices edged up Friday as Group of Seven finance ministers agreed on Friday to impose a price cap on Russian oil. Ministers said the provision of Western-dominated maritime transportation services, including insurance and finance, would be allowed only if the Russian oil cargoes are purchased at or below the price level "determined by the broad coalition of countries adhering to and implementing the price cap." US Treasury Secretary Janet Yellen said Russia would still have an economic incentive to sell oil at or near the cap, because otherwise it would have to shut down production that would be difficult to restart. Russia vowed it would halt sales to countries imposing a price cap and Russian gas monopoly Gazprom announced it shuts down the Nord Stream natural gas pipeline hours after G-7 finance ministers’ announcement. West Texas Intermediate (WTI) futures gained 0.3% and is higher currently. Brent crude added 0.7% to $93.02 a barrel on Friday.