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

  • National contest tries to convince students that lucrative sales jobs are 'sexy'

    Economic CBC News
    Sonya Meloff wants everyone to know that a career in sales is sexy. Not sleazy. "I think that sales is a really sexy job," says the founder of the Toronto's Sales Talent Agency. "You get to be at the forefront of representing a company, you're the one that gets to talk to the customers. Source
  • Report examines grim Bangladesh leather trade, links to West

    Economic CTV News
    DHAKA, Bangladesh -- Hazardous, heavily polluting tanneries, with workers as young as 14, supplied leather to companies that make shoes and handbags for a host of Western brands, a non-profit group that investigates supply chains says. Source
  • Notley: Keystone XL doesn't lessen need for Energy East, Trans Mountain

    Economic CTV News
    CALGARY -- Alberta Premier Rachel Notley says U.S. approval of the Keystone XL pipeline does not lessen the need for two other controversial proposals within Canada's borders. U.S. President Donald Trump announced the green light for the line more than eight years after Calgary-based TransCanada first applied for a cross-border permit. Source
  • Trump's Keystone XL decision sets up new fight in Nebraska

    Economic CTV News
    LINCOLN, Neb. -- U.S. President Donald Trump may have approved a federal permit for the Keystone XL pipeline, but the fight is far from over in Nebraska, the one state in its path that has yet to approve the project. Source
  • Toronto stock index extends rally, Wall Street mixed after 'Trumpcare' pulled

    Economic CBC News
    Specialist Stephen Naughton, left, and trader Michael Milano work on the floor of the New York Stock Exchange on Wednesday. North American equity markets finished mixed on Friday after U.S. Republicans withdrew their bill to overhaul Obamacare. Source
  • PepsiCo, Wal-Mart, Starbucks join YouTube ad boycott in U.S.

    Economic CTV News
    SAN FRANCISCO -- An advertising boycott of YouTube is broadening in a sign that big companies doubt Google's ability to prevent marketing campaigns from appearing alongside repugnant videos. PepsiCo, Wal-Mart Stores and Starbucks on Friday confirmed that they have also suspended their advertising on YouTube after the Wall Street Journal found Google's automated programs placed their brands on five videos containing racist content. Source
  • Debate renewed over economic benefits of Keystone XL pipeline

    Economic CTV News
    U.S. President Donald Trump is calling his administration's approval of the Keystone XL pipeline a new era for American energy policy. As expected, the State Department reversed a decision by the Obama administration and favoured energy development over environmentalists' objections to the pipeline, which will carry thick Canadian crude oil to Nebraska, where it can flow on to refineries along the Gulf Coast. Source
  • BRP could move Mexican production if NAFTA changes too onerous, says CEO

    Economic CTV News
    MONTREAL -- The company that makes Ski-Doos, Sea-Doos and Spyder vehicles says it could move production from Mexico if NAFTA changes result in hefty border taxes, but BRP chief executive Jose Boisjoli is hoping "common sense" will prevail during upcoming negotiations. Source
  • FCA to wind down transport operations in Windsor

    Economic CBC News
    Nearly 300 jobs could be eliminated at Fiat Chrysler Automobiles as the automaker winds down its FCA Transport operations in Windsor. "Retirement packages will be offered to eligible employees at the Windsor Assembly Plant, which includes FCA Transport," said a company spokesperson in a statement. Source
  • Dakota Access pipeline builder, U.S. government want lake crossing upheld

    Economic CBC News
    The company building the $3.8 billion US Dakota Access oil pipeline and the Army Corps of Engineers want a judge to reject a request by American Indian tribes to revoke permission for the project to cross a Missouri River reservoir in North Dakota. Source