Wall Street closed mostly lower, but posted its second straight weekly gain

In this context, the yields of the Treasure They rebounded from their multi-week lows, putting pressure on rate-sensitive mega-cap stocks.

However, beyond this Friday’s negative data, the S&P 500 and nasdaq are on track to end the week higher after Wednesday’s strong rally. That jump was triggered by Fed Chairman Jerome Powell’s comments about cutting interest rate hikes as early as December.

Jobs data shakes Wall Street

But this Friday, that recovery was offset by employment data, as James Knightley, ING’s chief international economist, observed, “strong job creation job and the great increase in wages underscore the Fed’s argument that much more work needs to be done to control the inflation“.

Thus, the financial guru predicted that there will be new rate hikes of 50 basis points in December and February and did not rule out that this policy should continue for longer. His look comes as the US Department of Labor’s employment report showed nonfarm payrolls rose by 263,000, versus an estimated 200,000, as US employers hired more people than expected in November and raised wages despite growing fears of recession.

Wall Street sets its sights on the rate

investors come now 87% chance the Fed will raise rates of interest at 50 basis points in December and the expectation for these hours on Wall Street is set at the meeting of the Federal Open Market Committee that will take place on December 13 and 14.

At that meeting, the future of US rate policy will be defined and will end a volatile year in which the central bank has responded to the fastest burst of inflation since the 1980s with the most aggressive rise in rates. interest rates since then to try to offset it.