Account

New to ADSS? Open an
account now to get started.

OR

Already have an account?

Add funds to your ADSS account

Account

New to ADSS? Open an
account now to get started.

Add funds to your ADSS account

Trends & Analysis
News

USD gains amid Fed rate cut speculations

News

Is the silver squeeze back?

News

Li Auto’s stock hits a speedbump on Q1 results

News

Gold closes week higher on rate cut speculations

News

Week Ahead Preview: 20th of May

News

Walmart’s stock hits record high on Q1 results

Trends & Analysis
News

USD gains amid Fed rate cut speculations

News

Is the silver squeeze back?

News

Li Auto’s stock hits a speedbump on Q1 results

News

Gold closes week higher on rate cut speculations

News

Week Ahead Preview: 20th of May

News

Walmart’s stock hits record high on Q1 results

News

US stocks rise sharply on NFP report

Monday, October 09, 2023

Today’s headlines

What’s happening: US stocks closed sharply higher on Friday, as investors digested the latest nonfarm payrolls (NFP) report.

What happened: A rally in technology stocks provided a boost to the overall stock market on Friday.

The S&P 500 ended a four-week losing streak and recorded its biggest daily percentage rise since August.

Why it matters: Data released on Friday showed that hiring in the US has increased more-than-expected in September, while wage growth has slowed.

Wall Street stocks moved lower immediately after the data release but rebounded sharply as the session progressed. Nonfarm payrolls surged by 336,000 in September, significantly topping market expectations of 170,000. This followed a 227,000 increase in August and was the strongest job growth in eight months.

Data also showed a moderation in wage growth for September. Average hourly earnings for all employees on private nonfarm payrolls increased by 7 cents, or 0.2%, to $33.88, at the same pace as in the earlier month. Over the past 12 months, average hourly earnings surged by 4.2%, recording the least growth since June 2021 and below market expectations of a 4.3% increase.

The unemployment rate came in steady at 3.8% in September, but was above market views of 3.7%.

Markets were eagerly awaiting the NFP report to get some insights into the Federal Reserve’s next move on interest rates, following a recent increase in US Treasury yields. Benchmark 10-year Treasury yields climbed to a 16-year high on Friday.

The Dow Jones index surged 288.01 points, or 0.87%, to close at 33,407.58, while the Nasdaq 100 jumped 1.70% to finish at 14,973.24 on Friday. The S&P 500 climbed 1.18% to settle at 4,308.5 on Friday. Information technology and communication services were among the top performing sectors on the S&P 500.

For the week, the S&P 500 gained 0.5%, while the Dow declined 0.3%. The recent gains came after US stocks recorded sharp losses for September and the third quarter.

What to watch: Investors will watch economic data on consumer price inflation and producer price index, scheduled for release this week. Markets also await the start of the earnings season, with major banks, including JPMorgan Chase and Wells Fargo, set to release this week.

The markets today

The Canadian dollar will be in focus today following release of jobs data

Context: The CAD/USD forex pair rose sharply on Friday after Canada released a better-than-expected jobs report.

Details: The Canadian economy added 63,800 jobs in September, notching the highest gain in eight months. The figure was also well above market estimates of 20,000.

The unemployment rate remained unchanged for the third straight month, at 5.5%, in September. This is the highest rate since January 2022 but below market expectations of 5.6% and lower than the pre-pandemic averages.

The release of an upbeat jobs report fuelled speculations of further rate increases by the Bank of Canada.

Increase in the prices of oil, one of Canada’s major exports, also lent support to the loonie. Crude oil prices settled higher by 0.6% to $82.79 per barrel on Friday.

Weakness in the US dollar also provided a boost to the CAD/USD forex pair. The US dollar index, which measures the greenback’s performance versus a basket of major peers, fell around 0.2% on Friday.

The CAD/USD forex pair gained around 0.3% to reach 1.3665 on Friday, after hitting a six-month low in the previous session. For the week, the loonie shed around 0.6% amid a rally in bond yields.

The S&P/TSX Composite index gained 0.57% to close at 19,246.07 on Friday, tracking the rally on Wall Street.

What to watch: With no major economic releases scheduled for today, investors await economic data on building permits later this week. The total value of building permits in Canada, which declined by 1.5% to $11.7 billion in July, is expected to increase 0.3% in August.

Other Markets: European indices closed higher on Friday, with the FTSE 100, DAX 40, CAC 40 and STOXX Europe 600 Index up by 0.58%, 1.06%, 0.88% and 0.82%, respectively.

The news shaping the markets

Ireland’s BNP Paribas Real Estate construction PMI rose to 48.6 in September, from 44.9 in August. The latest reading still signalled a contraction for the third straight month, which exerted pressure on the EUR/USD forex pair.


China’s foreign exchange reserves slipped to $3.12 trillion at the end of September, from $3.16 trillion a month ago. The recent reading came mostly in-line with market expectations and sent the CNY/USD pair slightly higher in forex trading this morning.


Colombia’s annual inflation rate eased to 10.99% in September, from 11.43% in the earlier month. This was in-line with market estimates of 11% and lent support to the COP/USD forex pair.


UK’s Halifax House Price Index declined by 4.7% year-over-year in September. This being the biggest decline since August 2009 sent the GBP/USD pair lower in forex trading this morning.

What else to watch today

Germany’s industrial production, Singapore’s foreign exchange reserves, Mexico’s inflation rate, France’s new passenger car registrations, as well as Central Bank of Brazil’s focus market readout.


Site by Pink Green
© ADSS 2024


Investing in CFDs involves a high degree of risk that you will lose your money due to the use of leverage, particularly in fast moving markets, where a relatively small movement in the price can lead to a proportionately larger movement in the value of your investment. This can result in loses that exceed the funds in your account. You should consider whether you understand how CFDs work and you should seek independent advice if necessary.

ADS Securities LLC (“ADSS”) is authorised and regulated by the Securities and Commodities Authority (“SCA”) in the United Arab Emirates as a trading broker for Over the Counter (“OTC”) Derivatives contracts and foreign exchange spot markets. ADSS is a limited liability company incorporated under United Arab Emirates law. The company is registered with the Department of Economic Development of Abu Dhabi (No. 1190047) and has its principal place of business at 8th Floor, CI Tower, Corniche Road, P.O. Box 93894, Abu Dhabi, United Arab Emirates.

The information presented is not directed at residents of any particular country outside the United Arab Emirates and is not intended for distribution to, or use by, any person in any country where the distribution or use is contrary to local law or regulation.

ADSS is an execution only service provider and does not provide advice. ADSS may publish general market commentary from time to time. Where it does, the material published does not constitute advice, or a solicitation, or a recommendation to a transaction in any financial instrument. ADSS accepts no responsibility for any use of the content presented and any consequences of that use. No representation or warranty is given as to the completeness of this information. Anyone acting on the information provided does so at their own risk.