Financial Markets Daily Report06 September 2021
Markets ended the week on a negative mood, following the release of weaker than expected employment data in the US (non-farm payrolls rose by 235k in August after 1,053k in July). The disappointing figures could well postpone a decision by the Fed to taper its asset purchases for later this year.
- Markets ended the week on a negative mood, following the release of weaker than expected employment data in the US (non-farm payrolls rose by 235k in August after 1,053k in July). The disappointing figures could well postpone a decision by the Fed to taper its asset purchases for later this year.
- Stocks and oil prices fell modestly, while, in FX markets, the US weakened against most currencies, rising temporarily above 1.19 relative to the EUR, the highest level since the end of July. Longer-dated U.S. Treasury yields rose and the yield curve steepened after the employment data showed wages increased more than expected.
- Monetary policy will be the key focus for investors this week. On Thursday, the ECB is likely to announce a decision to reduce the monthly pace of asset purchases. In addition, markets anticipate central banks in Peru (Thursday) and Russia (Friday) to hike its policy rates. Today markets are closed in the US for Labour Day.