Updated: 04-Aug-00
Sector Watch
Bonds -1/32 at 5.739%
Non Farm Payrolls -108K, +182K ex-Census; Unemployment Rate unchanged at
4.0%; Hourly Earnings +0.4%
08:55 ET: The initial reaction to the employment report was positive with a surge in futures trade... However, a quick pull back occurred, but the
futures trade has now stabilized on the plus side... The S&P futures are trading at 1467.40, 5.79 points above fair value of 1461.61, indicating a
higher Dow open by 45-50 points. NASDAQ futures are trading at 3699.00, about 47 points above fair value of 3651.91... On the heels of this
data, Goldman Sachs is saying that it expects no more rate hikes, and JP Morgan also comments saying fears of a rate hike have receded with
today's data.
08:35 ET: July Empoyment Data: Non Farm Payrolls -108K, +182K ex-Census; Unemployment Rate unchanged at 4.0%; Hourly Earnings
+0.4%; Work Week falls to 34.4 hours... Reaction is fairly positive as Futures move slightly higher; Positive market open expected.
08:25 ET: July employment data due out at 08:30 ET... Economists looking for a 70K increase in non-farm payrolls, unemployment rate of 4%,
and 0.3% increase in hourly earnings... Currently, the Futures point to a positive market open.
08:10 ET: US Markets : S & P Sep futures are 4 points above fair value at 1465 indicating a 25 -30 point higher open on the Dow. Nasdaq-100
futures are 46 points above fair value at 3695. Bonds are +5/32 at 5.725%. Table of overnight activity in the stock, bond, and FX markets.
08:05 ET: European Markets : FTSE is up 46 points at 6363 and the DAX is up 16 at 7054. Early gains in the tech and high growth sectors hit
profit taking ahead of this afternoon's US payroll report.
07:55 ET: Asian Markets : The Nikkei closed down 147 points at 15,667 taking it to new 17-month lows. Selling was boosted on the view that
redemptions on mutual funds with a six month holding period will pressure the market lower. The Hang Seng closed up 151 at 17,424 paced by
Hutchison in the wake of news its bidding for a mobile licence in Italy. Banks & developers rose on speculation today's US payroll report will be
tame, supporting the case for unchanged rates. |
