Financial Markets Daily Report 10 May 2021
In the last session of the week investors traded with optimism after April's US employment report came in lower than expected and eased concerns of higher inflation and monetary policy tightening from the Fed.
- In the last session of the week investors traded with optimism after April's US employment report came in lower than expected and eased concerns of higher inflation and monetary policy tightening from the Fed.
- In April, US non-farm payrolls rose by 266k workers while the consensus expected a 1 million increase and March figures were revised from 916k to 770k. The unemployment rate ticked up by 0.1pp to 6.1%.
- In this context, sovereign yields remained broadly stable in the US and stock indices reached new record highs. In the euro area, sovereign yields edged up, particularly in the periphery, and stock indices advanced. The US dollar weakened against most advanced and emerging economies' currencies and the euro fluctuated below $1.22.
- This week there will be few relevant economic data releases and the main focus for investors will be the US CPI inflation data for the month of April, due on Wednesday.