US job growth surged in June as factories and retailers boosted hiring, confirming the economy has regained speed after a first-quarter lull, but tepid wage growth could see the Federal Reserve still cautious about hiking interest rates
The US economy added 173,000 jobs in August, lower than expected as investors look for clues about the path of interest rates, according to the Bureau of Labor Statistics. In addition to the new jobs, the unemployment rate fell to 5.1 percent
Deven Choksey of KR Choksey Shares says largecap companies have remained silent. There is a possibility that they may start participating now.
Brent crude dropped for the second straight session on Friday, dragged below USD 83 by worries over the strong US dollar.
Benoit Anne of Societe Generale does not expect Federal Reserve to hike interest rates early even if payroll data is strong
The rupee is trading at 61.29/30 versus its close of 61.08/09 on Friday, tracking losses in most other Asian currencies after the better-than-expected US payrolls data.
A dollar sell-off that began on Friday after news that the US economy created 74,000 new jobs last month versus expectations for a 200,000 gain extended into Monday, with the greenback tumbling to one-month lows against the Japanese yen and Australian dollar.
The US employment situation report is expected to show another healthy rise in employment in December, with non-farm payrolls up by 193,000, slightly less than the 203,000 recorded in November. The unemployment rate is expected to remain unchanged, at 7.0 percent.
Increased expectations of a Fed move to reduce the pace of bond purchases that has helped support the economy sent the US 10-year Treasury yield to a high of 2.725 percent, the highest in almost two years.
Wall Street next week could see no more of panic selling on the back of US Federal Reserve's stimulus programme. But there may still be volatile environment in the stock market.
Kevin Cummins of UBS Securities believes that the US job reports were in line with the consensus. He added that the economy would grow at 2-3 percent in the second half of this year.
Nirmal Bang has come out with its report on precious metals. According to the research firm, bullion prices are trading lower on COMEX today. In the evening session we have the Non- Farm Payrolls and Unemployment rate data to be released by the US. Any further rise in employment numbers may limit the downside in bullion prices.
Non-farm payrolls rose by 236,000 in February, beating analyst forecasts of 160,000, as the US labour market picks up steam. The unemployment rate fell from 7.9 per cent to 7.7 per cent, the lowest in more than four years.
US job growth likely picked up modestly in January and the unemployment rate held steady, supporting views the economy's sluggish recovery was on track despite a surprise contraction in the final three months of 2012.
Bullion tracked the euro higher on Thursday and rose to its highest since March ahead of a meeting of the European Central Bank later in the day that could bring the announcement of new policies to help contain the euro zone's debt crisis.
Brent crude rose toward USD 107 per barrel on Monday, stretching gains into a fifth consecutive day on hopes the United States and Europe will this week announce new measures to shore up their fragile economies, boosting the outlook for oil demand.
Gold inched down on Monday, extending losses to a third session, on a lack of conviction the U.S. Federal Reserve would take measures to stimulate the economy anytime soon even after a disappointing jobs report.
US employers hired at a dismal pace in June, raising pressure on the Federal Reserve to do more to boost the economy.
Gold prices rose on Tuesday as expectations that a sluggish employment market in the United States could spark a fresh round of US quantitative easing drove prices higher, despite the influence of a firming dollar.
Arjuna Mahendran, managing director and head of investment strategy for Asia at HSBC Private Bank has a target of 4700 for the Nifty, but sees further downside is more pessimism seeps into the system.
In an interview with CNBC-TV18, Ryan Detrick of Schaeffer's Investment expects the deterioration of the overall US economy to continue.
Growth in the US economy's vast services sector remained sluggish in June as new orders fell, but economists said a steady employment reading pointed to job growth later in the year.
The Indian rupee is expected to dip early on Friday as regional shares point to a weak opening of domestic shares.
Spot gold held steady on Friday, supported by Moody's warning on US credit rating and a subsequent weaker dollar, while investors moved to the sidelines before the release of the closely watched US non-farm payrolls data.