News and market moving events
U.S. non-farm payroll
The big scheduled news event to look out for today is the U.S. non-farm payroll data due for release at: 13:30 BST. This news will most definitely move markets. The consensus is for 145,000 jobs to be created for September. The previous month was 135,000. Anything substantially less will pull U.S. and other markets back.
Will the data give cause for the U.S. Federal Reserve to consider another interest rate cut. Could it again be a case of good news bad new or bad news good news opening the door again for the markets to speculate on yet another Fed rate cut?
Asia markets
China markets closed for holiday. Asia markets subdued. Japan’s Nikkei closed up slightly at: 21410.
An announcement today says Hewlett-Packard, the personal computer manufacturer will cut up to 9,000 jobs worldwide as part of a plan to cuts costs and increase sales.
Apple iphone 11
Apple reportedly asked suppliers to boost iPhone 11 output amid strong demand.
India cuts interest rates again
This is India’s fifth rate cut this year as the RBI struggles to keep control of a slowing economy, and this despite September’s corporate rate tax cut from 35% to 25%.
Economic growth forecast is reduced from 6.9% to 6.1% in the financial year to 2020, with inflation predicted to come in just under 4%. Still, 6.1% is a very healthy growth rate.
This is the same central bank which earlier this week posted the following tweet: ‘RBI would like to assure the general public that Indian banking is safe and stable and there is no need to panic on the basis of such rumours ’– (that two lenders and a mortgage company were allegedly in trouble)?
Portugal election
Voters are heading to the polls Sunday.
Portugal’s economy has fared better than most in the euro zone club after adhering to deep austerity measures enabling the economy to grow by 2.8% in 2017 and 2.1% in 2018.
Main scheduled news and events due today
EU – ECB’s member speech due at: 12:30 BST
U.S. – non-farm payroll and job data due at: 13:30 BST
U.S. – trade balance figures for August due at: 13:30 BST
U.S. – Fed member speech due at: 13:30 BST
Canada – trade data due at: 13:30 BST & PMI reading at: 15:00 BST
U.S. – Fed chair Powell speech due at: 19:00 BST
Note: events marked red are far more likely to move markets.
Other news
Brexit uncertainty continues to stifle consumer confidence in the UK’s car market. Reports out today suggest new car sales declined by 2.5% in the first nine months of 2019.
U.S. imposed tariffs on EU goods as a result of the World Trade Organisation (WTO) ruling on Wednesday. Will the EU now retaliate against these U.S. tariffs?
U.S. jobs data
U.S. created 136,000 jobs in September vs prediction of 145,000. Markets responded positively. Unemployment rate falls to a 50 year low at 3.5%.
Dow futures jumped by on the news to touch 26300. Dow opens up by around 150 points at: 26350 but down on the week by some 600 points still (as at 14:45 BST on 4th October 2019). Dollar up on jobs data boost.
Dow continues to climb – up around 200 points to 25400 as at: 15:05 BST
Indices update
- FTSE 100 closed up at: 7155
- Dax closed up at: 12013
- Nikkei closed up at: 21410
- Dow closed up at: 26573
- S&P 500 closed up at: 2952
- Nasdaq closed up at: 7982
Fed chair Jerome Powell speech update
Fed chair Jerome Powell in his speech today said the U.S. economy in a good place but it’s facing some risks and challenges. He said the economy is facing long term challenges of low growth, low inflation and low interest rates. He also said it’s the Fed’s job to keep economy in good place as long as possible.
‘Goldilocks’ job report
The report was good enough on one hand to hold off recession fears and on the other not too good so as to prevent the the Federal Reserve from considering lowering interest rates by another 0.25% later this month.
The markets were happy!
U.S. – China to resume trade talks next week too.
End