Markets Bounce Ahead Of US NFP Report

Asian shares staged a rebound on Thursday following the broadly positive cues from Wall Street overnight as plunging oil prices and weak US jobs data lifted market sentiment. European futures are pointing to a positive open amid the improving mood with investors directing their attention toward Friday’s US payrolls report which could support or hinder the market rally.

Japanese Yen Steadies as Intervention Speculation Subsides

The yen has stabilized after a massive spike on Tuesday. The yen spiked upwards close to 2% in a matter of seconds on Tuesday after the yen breached the 150 line for the first time since October 2022. This raised a flurry of speculation that the Bank of Japan intervened in the currency markets in order to prop up the yen. It remained unclear if the spike was driven by an intervention or a technical movement, and the fact that Japanese officials refused to comment only added to the mystery.

Crypto Hits a Glass Ceiling

The crypto market is struggling to break above the $1.09 trillion cap, having turned south from that level on Thursday morning, bringing the total market valuation down to $1.084 trillion.

Pound Shrugs Off Soft Construction PMI

The UK Construction PMI fell to 45.0 in September, down significantly from 50.8 in August and below the consensus estimate of 49.9. This was the first decline in three months and the steepest decline since May 2020. The survey found that high mortgage rates and weak demand for house purchases had a negative impact on the construction industry. As well, business expectations fell to their lowest level this year.

Canada's Trade Accounts Flip to a Surplus In August

Canada's merchandise trade account registered a $718 million surplus in August after three consecutive months of deficits. This comes after July's deficit was revised upward to $437 million.

Sunset Market Commentary

A fragile/cautious underlying risk sentiment explains ongoing USD resilience. Which currency presents itself as alternative for the reference currency carrying a 2%+ long term real yield combined with economic outperformance?

Stocks and Oil Prices Not Seeing Typical Calm Before NFP Friday

Stocks are slightly lower as calm emerges in the bond market. Wall Street is still seeing a lot of strength in the labor market. The S&P 500 index turned negative after slightly lower-than-expected weekly jobless claims. The risk for higher rates remains as a labor market slowdown was supposed to happen before the holiday hiring season.

Why You Should Expect a Once-in-a-Lifetime Debt Crisis

On a national level, a debt crisis occurs when a country is unable to pay back its government debt. This might result from government spending exceeding tax revenues for an extended period.

It's Payrolls Day

Today we get the key US jobs report for September. We expect data to be generally consistent with a further cooling of the economy and expect non-farm payrolls growth at +140k and average hourly earnings at +0.2 % m/m SA, both is a bit below consensus.

US Jobs Report Eyed as Fed Seeks Evidence of Cooling Labour Market

Equity markets are edging higher ahead of the US jobs report on Friday, a release that could set the tone in the markets ahead of next month's Fed meeting.