US equities closed modestly lower overnight as investors pared risk ahead of today’s key Non-Farm Payrolls report. Fed Chair Warsh’s reiteration of the Fed’s 2% inflation commitment added to the cautious tone. Tech stocks led the decline, oil fell sharply on easing Hormuz supply fears, while gold ended higher despite a stronger dollar.
📊 Equities
US equities closed modestly lower overnight as investors pared risk ahead of today’s key US Non-Farm Payrolls report. Markets were also weighed by comments from Fed Chair Kevin Warsh, who reiterated the Fed’s commitment to returning inflation to its 2% target. Technology stocks led the weakness, dragging the Nasdaq down 0.66%, while the S&P 500 slipped 0.22%. The Dow was broadly flat, easing just 0.03% to 52,305.
🛢️ Oil
Oil prices fell sharply as easing concerns around potential disruption to Strait of Hormuz shipping routes following US-Iran talks reduced geopolitical risk premiums. Brent crude dropped 2.56% to US$71.08 per barrel and WTI fell 1.32% to US$68.58 per barrel.
🥇 Gold
Gold traded choppily but ended higher, gaining 0.57% to US$4,029.89 an ounce as ongoing geopolitical uncertainty offset headwinds from a firmer US dollar.
💵 FX & Bonds
US Treasury yields moved higher ahead of the employment data, with the 10-year yield rising 1.4 basis points to 4.479% and the 2-year yield edging up 0.2 basis points to 4.174%. The US dollar strengthened, with the DXY gaining 0.23% to 101.40.
| Market | Change | Close |
|---|---|---|
| Dow Jones | -0.03% | 52,305 |
| S&P 500 | -0.22% | 7,483 |
| Nasdaq | -0.66% | 26,040 |
| USD Index | +0.23% | 101.40 |
| US Treasury 2Y | +0.2 bps | 4.174% |
| US Treasury 10Y | +1.4 bps | 4.479% |
| Oil – Brent | -2.56% | $71.08 |
| Oil – WTI | -1.32% | $68.58 |
| Gold | +0.57% | $4,029.89 |
📌 Today’s Focus
Markets are squarely focused on the US jobs report, with Non-Farm Payrolls, Average Hourly Earnings, the Unemployment Rate and Weekly Jobless Claims expected to shape expectations for the Fed’s policy path and drive near-term market direction.
🔹 Switzerland – CPI Data
🔹 US – Non-Farm Employment Change Data
🔹 US – Average Hourly Earnings Data
🔹 US – Unemployment Rate
🔹 US – Weekly Unemployment Claims Data