Spreadex Market Update
Inauspicious end to March ahead of Friday’s manufacturing PMI and non-farm jobs report onslaught
With the US jobless claims, jumping up to their worst level since the start of the month, countered by a notable rebound to 53.6 from the previously contraction-territory lurking Chicago PMI there was little American direction for investors to follow this Thursday. This left the Dow Jones flirting with flatness as the day went on, capping off a March that has seen it grow over 1000 points with a thoroughly tame afternoon of trading.
Of course there is likely another reason for investors’ reticence this Thursday, a reason that goes beyond it being March’s end. Tomorrow is a bumper, and potentially bumpy, start to the month, April kicking off with the kind of data discharge that may leave investors feeling a bit queasy. Not only do the markets have to contend with the non-farm jobs report (an expected improvement in wage growth, from -0.1% to 0.2%, likely to be joined by a slip in the headline figure, from 242k to 206k), but the afternoon also sees the Markit and ISM manufacturing figures AND the revised UoM consumer sentiment number. It will be interesting to see a) whether investors’ aversion to rate hikes (and joy at a dovish Janet Yellen) will dictate the post-non-farm reaction and b) whether said reaction can see the Dow Jones edge ever closer to the 18000 mark.
Whilst the US markets quietly prepared themselves for tomorrow’s statistical onslaught the European indices continued to end the month in a most inauspicious style, the FTSE, DAX and CAC falling 0.4%, 0.7% and 1.1% respectively. Not that the region will be completely ceding the spotlight to the US on Friday; the start to the session is cluttered with the region’s manufacturing figures (following an early in the morning, and always ominous, dispatch from China) joined by the Eurozone-wide unemployment number (which is aiming for a 6th consecutive month of contraction).
It's easy to open an account
- Fill in our simple online application form
- Fund your account
- Start trading the global markets instantly!
SEARCH FOR AN ARTICLE:
Enter a keyword and search for all relevant articlesMARKET ANALYSIS
RECENT POSTS
DISCLAIMER
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.
Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.
No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.
The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.spreadex.com.
