Wall Street: A Free Fall Weekend

Wall Street continues its downfall on Friday night at three hours of the closing, including a new dip for the Nasdaq, while “10 years” American climbs still, on the 3.23%, boosted by the strength of the US economy which should push the Fed to continue its monetary tightening at a good pace. The session was marked by the publication of a very contrasting report on employment. September job creations are below expectation, but the unemployment rate is sinking to levels more reviewed for 50 years across the Atlantic … The DJIA loses another 0.95% to 26,374 pts, the Nasdaq dives still 1.65% to 7.749 pts, and the S & P500 fell 0.81% to 2.878 pts.

Non-agricultural job creation in the United States for the month of September 2018 was very disappointing, at 134,000 against a consensus of about 180,000. The US unemployment rate, on the other hand, came back down to 3.7% against 3.9% a month earlier, while the consensus of place stood at 3.8%. The US unemployment rate has never been lower since 1969! Job creations for the month of July 2018 have been revised from 147,000 to 165,000. In addition, creations in August were adjusted up sharply to 270,000, against 201,000 previously assessed. The average hourly wage, which is now closely followed by wage inflation, rose by 2.8% year-on-year for the month of September 2018. Its rise came to + 0.3% compared to the previous month, in line with the previous month. the consensus of place, after a gain revised to + 0.3% for the month of August.

The US trade deficit for the month of August 2018 stood at 53.2 billion dollars, against 53.7 billion $ of consensus of place and 50 billion dollars for the month of July 2018.