PARIS (Reuters) – The main European stock markets are expected to rise modestly at the opening on Friday before the publication of the employment report in the United States, the last indicator on American employment before the next meeting of the Federal Reserve.

The first available indications indicate that the Parisian CAC 40 would be up 0.24% at the opening. Futures contracts on the FTSE in London suggest an opening advance of 0.23%, compared to 0.16% for the Dax in Frankfurt, and 0.22% for the EuroStoxx 50.

The monthly report on non-farm employment in the United States will be released at 1:30 p.m. GMT by the Labor Department.

This will be the last indicator on US labor markets to be published before the next meeting of the Federal Reserve on December 13, and an upside surprise could force investors to review their positioning: markets anticipate a pause in rate increases in December, made possible in particular by the cooling of the labor markets.

However, three different indicators published this week showed that employment tensions were starting to dissipate: the Jolt survey showed that the number of job offers in October was at its lowest since the start of 2021, the ADP survey indicated that the private sector created fewer jobs than expected in November, and new jobless claims rose last week.

Final German inflation for November is also due at 0700 GMT, with the consensus being that it will be in line with the first estimate.

VALUES TO FOLLOW:

A WALL STREET

The New York Stock Exchange ended up on Thursday, as Alphabet’s presentation of its latest artificial intelligence model and the launch of a new generation of chips by AMD brought a wave of optimism to the sector.

The Dow Jones index gained 0.17%, or 62.95 points, to 36,117.38 points. The broader Standard & Poor’s 500 gained 36.25 points, or 0.80% to 4,585.59 points. The Nasdaq Composite advanced 193.28 points (1.37%) to 14,339.994.

IN ASIA

The Tokyo Stock Exchange ended lower on Friday, with export values ​​falling amid a strengthening of the yen against the dollar due to growing bets on a tightening of monetary policy by the Bank of Japan (BoJ). The Nikkei index lost 1.68% to 32,307.86 points and the broader Topix lost 1.53% to 2,323.79 points.

Several Toyota subsidiaries posted the largest declines in the Nikkei index: JTEKT lost 4.98%, Toyota Tsusho 4.88%, Subaru 4.13%, Denso 4.51% and Toyota Motor 3.7%. .

Chinese indices remain near their five-year low, with investors cautious ahead of possible new support measures. The Shanghai SSE Composite rose by 0.26%, the CSI 300 by 0.4%, the Hong Kong Hang Seng index by 0.12%.

RATE

US yields are on the rise in a wait-and-see environment. The ten-year Treasury yield advances 2.2 bps to 4.1511%, while the two-year rate rises 2.8 bps to 4.6078%.

CHANGES

Foreign exchange markets are calm ahead of the release of the non-farm payrolls report, while the yen strengthens slightly and remains near its highest since August, as investors begin to anticipate a tightening of monetary conditions in Japan .

The dollar gains 0.12% against a basket of reference currencies, while the euro loses 0.08% to 1.0783 dollars, and the pound sterling is stable at 1.2586 dollars.

In Asia, the yen strengthened by 0.10% to 143.98 yen per dollar, while the Australian dollar gained 0.14% to 0.661 dollars.

OIL

Oil rebounds after Russia and Saudi Arabia, the world’s top two oil exporters, called on OPEC+ members to cut production. The unwinding of short positions also helped to support prices.

Brent rose 2.04% to $75.56 per barrel, with American light crude (West Texas Intermediate, WTI) gaining 1.93% to $70.68.

(Written by Corentin Chappron, edited by Tangi Salaün)

Copyright © 2023 Thomson Reuters