HONG KONG (AFP) – Global stocks were mostly lower on Monday following the US Jobs report Friday’s release was hotter than expected, while the euro fell after French President Emmanuel Macron Dissolution of the National Council After the setback in the parliamentary elections that took place on Sunday.
Far-right parties made significant gains in Sunday’s parliamentary elections, prompting French President Emmanuel Macron to call early elections. This led to the euro falling to its lowest price in nearly a month. The euro was trading at $1.0766, down from $1.0778.
The setbacks suffered by the existing parties have cast their shadows throughout the region. The CAC 40 index in Paris fell by 1.7% to 7,866.87 points, and the German DAX index lost 0.7% to 18,425.26 points. The British FTSE 100 index fell by 0.4% to 8,215.84 points in early trading.
Futures for the S&P 500 fell 0.1%, and the Dow Jones Industrial Average fell 0.2%.
Markets in Asia finished mixed. In Tokyo, the Nikkei 225 rose 0.9% to 39,038.16 after government data on Monday. Japan’s economy It shrank at an annual rate of 1.8% in the January-March period, an upward revision from the previously reported 2% decline.
South Korea’s Kospi index fell by 0.8% to 2,701.17 points.
Markets in China, Hong Kong, Australia and Taiwan were closed for the holidays.
On Friday, the S&P 500 fell 0.1% and the Nasdaq Composite fell 0.2%. The Dow Jones index fell by 0.2%.
U.S. employers added 272,000 jobs in May, up from April and more than economists expected. The report also showed that the unemployment rate rose for the second month in a row. Overall, this indicates continued strength in the labor market, with some minor signs of weakness. The strong jobs market has supported consumer spending and the broader economy, but it has also complicated the Fed’s future path on interest rates.
“We are back to square one where the Fed cannot justify cutting interest rates when jobs data remains strong and inflation is not falling as quickly as it should,” Ipek Ozkardskaya, a senior analyst at Swissquote Bank, said in a commentary.
The yield on 10-year Treasury bonds jumped to 4.43% from 4.29% just before the jobs report. The two-year yield, which closely tracks expectations for the Fed, jumped to 4.89% from 4.74% before the report.
Economic data released last week indicated that the economy may be slowing. The latest reports show that manufacturing contracted in May, worker productivity is not as strong as economists thought and job creation is declining.
Fed officials are expected to keep interest rates steady at their meeting later this week. After the jobs report was released, investors removed more bets that the Federal Reserve will cut interest rates at its July meeting, according to data from CME Group.
Wall Street is also watching retailers’ earnings, which showed customers are backing away from items that aren’t essential. Consumer spending has been the main support of the economy, but stubborn inflation is hurting consumers, especially those with low incomes.
GameStopthe struggling video game retailer that was at the heart of the meme stock craze, fell 39.4% after reporting another quarterly loss and saying it plans to sell up to 75 million more shares.
In other trading, the price of US crude oil fell 18 cents to $75.35 a barrel in electronic trading on the New York Mercantile Exchange.
Brent crude, the international standard, lost 11 cents to $79.51 a barrel.
The US dollar rose to 156.86 Japanese yen from 156.83 yen.
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