European stocks slide
European stocks fell Friday as German industrial production slumped. Investors were also waiting for U.S. jobs data due for release Friday at: 13:30 GMT. The coronavirus concern remains high!
Industrial data readings
German industrial production came in far worse than expected, with a 3.5% drop in December against expectations for a 0.1% rise. Manufacturing misery was aggravated further by a whopping 8.7% monthly slump in construction.
French industrial production also fell further than analysts predicted in December.
U.S. stocks
U.S. stock futures slipped ahead of U.S. jobs data due for release on Friday. The data could be a test for Wall Street equities, which have also hit fresh records this week as investors seized on positive trade news and pushed some concerns of the coronavirus outbreak on to the back burner.
Reports of the death of a Chinese doctor who reportedly sounded the alarm over the virus outbreak in China has highlighted the difficulties China is facing getting the outbreak under control. Latest reports indicate the number of infected rose to 31,000 globally and the death toll in China has reached 636.
Japan reported 41 new cases of the virus on a quarantined cruise ship.
Investors remain anxious ahead of a weekend that could bring worsening news of the coronavirus outbreak.
U.S. markets update
This week has seen strong gains in all U.S.markets. The Dow closed the month of January at around: 28256, and yesterday, 6th February, closed at: 29380 providing a gain of over 1100 points. This was a huge recovery from the 600 point drop recorded by the Dow on Friday! The Nasdaq and S&P 500 reached new highs!
The U.S. economy remains in a good place
U.S market reports have been positive this week with news of:- Trumps acquittal, a low unemployment reading for January, China halving tariffs and reports of a virus vaccine/treatment ‘breakthrough’ all encouraged sentiment, pushing U.S. markets to new highs.
And all this amidst the worrying concerns for the global economy the coronavirus outbreak could bring.
U.S. non-farm payroll data up next on Friday at: 13:30 GMT
Dow futures Friday as at: 11:30am (GMT) down by around 130 points.
FTSE 100 and Dax both lose ground in morning trade
Latest update – U.S. jobs data
U.S. added 225,000 jobs in January 2020 – verses a consensus of 158,000 jobs.