World markets drift ahead of U.S. jobs report

HONG KONG - World stock markets were uneven Friday as investors awaited U.S. job numbers that could influence how much the Fed raises interest rates this year.

See Full Article

Japanese shares sagged on the strengthening yen.

KEEPING SCORE: European benchmarks were mixed in early trading. France's CAC 40 rose 0.6 per cent to 4,255.33 while Germany's DAX dipped 0.2 per cent to 9,378.43. Britain's FTSE climbed 0.2 per cent to 5,911.46. U.S. stocks were poised to open lower. Dow futures lost 0.1 per cent to 16,318.00 and broader S&P 500 futures edged 0.1 per cent lower to 1,904.60.

JANUARY JOBS: Market attention is focused on the U.S. government's employment report for last month, which will be released later Friday after Asian markets have closed. Analysts expect a solid 200,000 jobs to be added, with the unemployment rate holding steady at 5 per cent. However, weaker than expected figures would add to other downbeat economic data that's been piling up in recent days, including contracting U.S. and Chinese factory activity and a disappointing U.S. service sector index. Taken together, it could all be used to support the case for the Fed putting off further interest rate hikes, a prospect that's already helped push down the dollar.

ANALYST VIEW: "What's worrying the markets is some Fed policymakers' belief that recent developments are not sufficiently serious or persistent to warrant a material change in the central bank's outlook and view on the gradual path of the rate hike cycle," IG market strategist Bernard Aw wrote in a commentary. "The expectations disparity will heighten market volatility."

ASIA'S DAY: Japan's benchmark Nikkei 225 index dropped 1.3 per cent to close at 16,819.59 as the dollar weakened against the yen, hurting shares of the country's export producers. South Korea's Kospi edged up 0.1 per cent to 1,917.79, Hong Kong's Hang Seng climbed 0.6 per cent to 19,288.17 and the Shanghai Composite in mainland China shed 0.6 per cent to 2,763.49. Australia's S&P/ASX 200 dipped 0.1 per cent to 4,976.20. Benchmarks in Southeast Asia rose. Trading volumes in Asia will be muted as many exchanges shut for all or part of the Lunar New Year holiday next week.

ENERGY: Oil futures retreated, with benchmark U.S. crude down 16 cents, or 0.5 per cent, to $31.56 a barrel in electronic trading on the New York Mercantile Exchange. The contract lost 56 cents to settle at $31.72 on Thursday after jumping 8 per cent the day before. Brent crude, a benchmark for international oil prices, lost 46 cents, or 0.5 per cent, to $34 a barrel in London.

CURRENCIES: The dollar weakened to 116.81 yen from 116.96 yen in the previous day's trading, bringing its loss for the week to 3.5 per cent. The euro eased to $1.1194 from $1.1199, its highest in more than three months.



Advertisements

Latest Economic News

  • Kraft Heinz withdraws $143 billion bid to buy Unilever

    Economic CTV News
    NEW YORK -- Kraft Heinz has withdrawn its $143 billion offer to buy Unilever, backing away after the mayonnaise, tea and seasonings maker rejected the bid as too low. The companies announced the decision Sunday in a joint press release, saying that Kraft Heinz has "amicably" withdrawn the offer. Source
  • 1 killed, 3 injured in Saudi Aramco oil pipeline leak

    Economic CTV News
    DUBAI, United Arab Emirates -- Saudi oil giant Saudi Aramco says one person has been killed and three others injured as a result of an oil pipeline leak in the east of the kingdom. The company said in a statement Sunday that an emergency response team managed to contain the leak Saturday in Abqaiq. Source
  • IMF agrees to loan $5B to Mongolia

    Economic CTV News
    BEIJING - The International Monetary Fund and other partners have agreed on terms for a $5 billion loan to the Mongolian government to help get the north Asian country's economy back on track. The deal is subject to approval by the IMF's executive board. Source
  • Iraq says proven oil reserves rise to 153 billion barrels

    Economic CTV News
    BAGHDAD -- Iraq says new exploration has revealed an additional 10 billion barrels of oil, bringing its total proven reserves to 153 billion barrels. Oil Minister Jabar Ali al-Luaibi said in a statement Sunday that the increase comes from seven oil fields in central and southern Iraq, without naming them. Source
  • Toxic Jewelry and holiday scams: CBC Marketplace's consumer cheat sheet

    Economic CBC News
    Miss something this week? We got you. Here's this week's Marketplace cheat sheet. Get this in your inbox every Friday. Sign up for the Marketplace newsletter. Rotten reno Paul Gough says he's had to take time off work to act as a contractor and make his home livable again. Source
  • When will oil demand peak? Depends on our driving habits

    Economic CBC News
    In the past, forecasters had a relatively simple method of estimating whether demand for oil would increase or decrease and by how much. For the most part, they simply looked at the economy. If people were making more money, it was safe to assume they would spend more, travel more and head to the car dealership more often. Source
  • 'I was in shock': Why Canadians are still struggling with runaway cellphone charges

    Economic CBC News
    After CBC News ran a story about a cellphone customer who got hit with a $24,000 data roaming charge, more customers started writing in with their own nightmare bill stories. And most involved big data charges. Source
  • Ineffective laws fuelling Canada's online piracy problem, U.S. copyright group says

    Economic CBC News
    Ineffective laws that lag behind international standards have made Canada a hot spot for online piracy and copyright infringement, according to a group of rights holders that has again placed this country on its global watch list. Source
  • Enbridge says pipeline leak near Edmonton was caused by construction

    Economic CTV News
    EDMONTON -- Enbridge (TSX:ENB) says it believes a pipeline that leaked near Edmonton was struck by another company doing construction in the area. The pipeline company says in a news release that the incident happened Friday on its Line 2A pipeline at an industrial site in Strathcona County. Source
  • Trump sons in Dubai to open golf club

    Economic CTV News
    DUBAI, United Arab Emirates -- Two of U.S. President Donald Trump's sons arrived in the United Arab Emirates for an invitation-only ceremony Saturday to formally open the Trump International Golf Club in Dubai. Photographs shared on social media by real estate brokers showed Eric and Donald Jr. Source