The main ones Wall Street Indices rose in the early hours of Friday after a week marked by volatility caused by the end of the Japanese carry trade; from moderate signals from officials of the United States Federal Reserve (Fed) after a rebound in the previous session following a report on a resilient labor market.
Futures linked to the S&P 500 and to Nasdaq U.S. stocks continued to show signs of recovery on Friday after U.S. stocks rose on Thursday after last week’s jobless claims fell more than expected. The gloomy July jobs data had raised fears of a deceleration in the United States economy.
The chip manufacturer Nvidia (NVDA.O) led gains in tech stocks megacap in pre-market trading, up 1.4%.
“Investors appear to be extremely sensitive to job-related figures and this is evident from the panic triggered by the report NFP last week, as well as the reassessment (of interest rate cuts) right after yesterday’s jobless claims,” he said. Charalampos Pissouros, senior investment analyst at forex broker XM, said in a note.
“This confirms the narrative that good data is now good for stocks, even if this translates into fewer basis points of rate cuts by the Fed.” “Fed”.
The global markets have also stabilized after a fall earlier this week, triggered by a rise in the yen when a surprise rate hike by the Bank of Japan resulted in the cancellation of foreign exchange carry trade operations.
He CBOE Volatility Index (VIX)Wall Street’s “fear gauge,” fell to 23.62 points from a high of 65.73 at the start of the week.
Still, all major indexes were headed for weekly losses, with both the S&P 500 (SPX) and Nasdaq (IXIC) on track for a fourth straight week of declines.
Are Fed rate cuts coming?
The money markets are evenly split between the chances of the Fed cutting rates by 50 basis points or 25 basis points in September, according to the tool FedWatch of CME.
Federal Reserve officials said Thursday they were more confident that the inflation is cooling enough to allow for future interest rate cuts, and they will be guided by economic data on the size and timing of those cuts.
Investors are now focused on next week’s figures on the consumer prices and the retail sales July, which could provide fresh evidence on the chances of a soft landing for the US economy.
The dollar in Uruguay
In Uruguay, Meanwhile, the dollar fell 0.27% compared to Wednesday, closing at 40.296 pesos, according to the official exchange rate. Central Bank of Uruguay (BCU), chaining its third consecutive day of decline and going through the week in negative territory, although it continues to operate within the 40 pesos range.
The US currency has accumulated a weekly decline of 0.40% compared to Friday, a monthly variation of 0.05% and an annual variation of 3.26%, since its interbank rate is 1.27 pesos above the one registered after the close of the last exchange day of last year.
Source: Ambito
