Morning Recap Monday 7 February 2022
Global Markets Update
U.S. MARKETS
Equity markets closed mostly higher on Friday, after data revealed the U.S. labor market showed unexpected strength in January despite record Covid-19 infections with a broad-based 467,000 gain in nonfarm payrolls, which exceeded all economists’ projections, and followed a 709,000 total upward revision to the prior two months, leading to unemployment rate ticking up +10bps MoM to 4% primarily due to seasonal adjustments. The S&P 500 was up +0.5% and NASDAQ gained +1.6%. Led by gains in tech stocks amid bullish sentiment from Amazon.com Inc’s earnings. The Dow Jones declining -0.1%.
Long-dated U.S. treasury yields were higher, with the 2-Yr yield at 1.310% and the 10-Yr yield at 1.909%.
EUROPEAN MARKETS
European equity markets closed lower on Friday, with Stoxx Europe 600 down -1.4%. As investors fretted about further hawkish rhetoric by the region’s central banks. The U.K. FTSE 100 declined -0.2% and German DAX closed -1.7% lower.
ASIAN MARKETS
Asian equity markets closed higher on Friday, with the Hang Seng up +3.2%, KOSPI up +1.6%. Nikkei 225 up +0.7% and Shanghai Composite remaining closed for a holiday.
WTI oil gained +2.3% and is trading at US$92.31 a barrel. After Saudi Arabia raised oil prices for customers in Asia, the U.S. and Europe. Iron ore price is at US$127.33 per ton. Spot gold is trading at US$1,808 per oz.
