Closing post
European markets are ending the week calmly, with the FTSE 100 index up 11 points or 0.1% in late trading, the pound now calm at $1.20, and the euro moving away from parity with the US dollar.
So here’s today’s main stories so far:
Hope you have a nice weekend, see you on Monday... GW
Today’s US jobs report is good for growth but bad for inflation, says Janet Mui, Head of Market Analysis at wealth manager Brewin Dolphin:
The US labour market remains a bright spot with better-than-expected job gains, plentiful job openings and decent wage growth, which should help dampen near-term recessionary concerns.
We think today’s report in any state will not change the Federal Reserve’s mind to deliver another 75 basis point hike in July, followed by 50 basis point hikes in September, as the Fed is focused on fighting inflation. These aggressive rate hikes are being well priced in by financial markets.
While the probability of a recession in the US over the next 12 months has risen due to rampant inflation and tighter monetary policy, the resilience in jobs will prevent the economy from falling off a cliff as some fear.”
“An American economy in free fall does not tend to produce 372,000 jobs on any given month.”
— Carl Quintanilla (@carlquintanilla) July 8, 2022
- @joebrusuelas #NFP pic.twitter.com/xvQaR4JuG6
