There was a significant change in the equity futures on last Sunday evening after a rally.S&P has increased to its best in the week and highest since August.
Futures that were tied to Dow Jones industrial increased by 12 points.
S&p 500 were 0.1% lower. Nasdaq 100 futures decreased by 0.3%.
Oil prices increased more than 2%. As the week ended, stocks rallied after May’s jobs report showed strong growth. The Dow increased 701.19 points which is 2.12% this ended the week at 33,762.76. S&P increased 1.45% which is 4,282.37. Nasdaq 100 increased by 1.07% which makes it 13,240.77.
Following the Labor Department’s report of a massive increase in nonfarm payrolls in May, investor sentiment was high on Friday. Compared to the Dow Jones estimate of 190,000, the number of people employed in the public and private sectors increased by 339,000 in May, average hourly earnings rose by 4.3%, slightly less than economists expected, and the average week of work decreased slightly. It eased fears of an impending recession.
“Despite the rising number of leading indicators that indicate a recession coming soon, continued strength in the labor market and stubborn levels of personal consumption are pushing the onset further down the road,” Mace McCain said.
He added “We don’t think the economy can tip into recession until employment weakens materially,”
“The unemployment rate has spiked with every decline in job openings going back to the 1950’s but has yet to happen this cycle. This trend could continue, hence delaying the recession.”
China’s private Caixin services have gone to 57.1.
Oil prices increased after Saudi Arabia decided to decrease production by a million barrels per day.
Global benchmark Brent futures increased by 2.4% at a cost of $78 per barrel.
U.S West Texas Intermediate futures increased by 2.5% which is $73.53 per barrel.
“The market did not widely expect the Saudi decision to cut production by 1 million barrels per day unilaterally,” Bob McNally said.
He continued, “ It once again demonstrated that Saudi Arabia is willing to act unilaterally to stabilize oil prices”
Stock futures were seen flat to begin with on Sunday evening. Dow Jones Industrial Averages increased by 13 points which is 0.04%. S&P 500 futures increased by 0.01%. Nasdaq 100 futures decreased by 0.01%
- Published By Team Nation Press News