The stock futures of Wall Street were down sharply, with Nasdaq 100 contracts down 2% on disappointing results from Google, Apple and Amazon. S&P 500 futures were down 0.9%.
The pan-European index STOXX 600 it lost 0.6%. The German 10-year bond yield rose 2 basis points (bp) to 2.097%, after suffering its biggest drop since 2011 on the eve of rising debt prices.
During the day, the non-farm payroll report for the United States will be released, data closely followed by market operators.
“If we see a reduction in net job creation, the Fed could raise rates yet again by 25 basis points and that would be the end of the cycle,” said Willem Sels of HSBC bank.
In currency markets, the euro extended its losses to $1.0888, moving further away from the 10-month high reached on Thursday at $1.1033.
Sterling fell to $1.2185, its lowest in more than two weeks, after falling 1.2% in the previous session.
This helped the dollar to recoup most of its post-Fed losses and the dollar index was trading at 101.94, far from its nine-month low of 100.80.
Treasury yields were trading flat. The return on ten-year notes was unchanged at 3.96%, while that on two-year paper, which rises with traders’ expectations that rates will rise, rose 2 bp to 4.106%.
In the energy markets, crude oil prices reversed their previous advances and fell 0.6%.
By Naomi Rovnick and Stella Qiu from Reuters
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
