© Reuters. WALL STREET ENDS UP
by April Joyner
(Reuters) – The New York stock Exchange ended higher Friday, supported by the figures of job creations, which were relegated to the second plan, the entry into force, as expected, the new u.s. tariff on chinese products and the response from Beijing.
The Dow Jones has gained 99,74 points, or 0.41%, 24.456,48.
The Standard & Poor’s 500, wider, rose 23,21 points, or 0.85%, to 2.759,82.
For its part, the Nasdaq Composite has taken 101,96 points, or 1,34%, to 7.688,39. The index to a high technological component, has been ported to Microsoft (NASDAQ:MSFT) (+1,4%), Apple (NASDAQ:AAPL) (+1,39%), respectively second and third best performances of the Dow, Facebook (NASDAQ:FB) (+2.4%) and Amazon (NASDAQ:AMZN) (+0,64%).
On the week, the Dow took to 0.7%, the S&P-500 made 1.5% and the Nasdaq advanced 2.4%.
All compartments of the S&P-500 ended in the green.
The department of Labor announced Friday that the u.s. economy created last month 213.000 jobs, non-agricultural, due to an increase of hiring in the industry, against 195.000 expected. But the slight slowdown in wage growth (+0,2%) suggests a moderation in inflationary pressures, a development that could deprive the federal Reserve of an argument for the acceleration of the rate increase.
“Today’s figures do not really indicate that the pressure on wages becomes uncontrollable, it is positive for the market,” says Anthony Sagimbene, strategist at Ameriprise Financial Services.
LIMITED IMPACT OF THE IRON ARM COMMERCIAL
The statistics of employment has passed in the second plan, the tightening of the arm of the iron trade between the United States and China.
Washington applies from this Friday to customs duties of 25% on $ 34 billion (29 billion euros) of chinese products. Beijing has countered by equivalent measures on the same amounts and entered the world trade Organization (WTO).
The us president, Donald Trump, has warned that in the end, more than $ 500 billion of chinese goods, nearly all of u.s. imports from China could be taxed.
“Even if there is a trade dispute, it will be measured, it is not going to bring on 500 billion in a single time,” said Jamie Cox, managing partner at Harris Financial Group. “This gives the opportunity of negotiations and not torpedo, not the economy, what people feared.”
“The market is a little stagnant, if trade tensions start to rise”, warns, however, Gerry Sparrow, manager of portfolio for Interactive Brokers Asset Management.
BIOGEN (NASDAQ:BIIB) DOPE HEALTH
Values, Biogen, stronger contributor to the rise in the S&P-500, has jumped of 19.63%, after it announced positive results of a study on treatment of Alzheimer’s disease developed in common with the japanese Eisai (T:4523). This is the largest percentage increase of title for more than 14 years.
In its wake, the health care sector of the S&P-500 took to 1.45%, largest increase sector, ahead of technology (+1,24%) and distribution (+0,78%). The index of biotech firms in the Nasdaq is awarded 3,72%.
EchoStar has gained 1.87 percent. The group has announced to waive a purchase offer on Inmarsat, the british operator of satellites having rejected a proposed $ 3.2 billion (2.7 billion euros) of its american competitor.
Caterpillar (NYSE:CAT), one of the great values that are sensitive to trade tensions, has lost 0.30 percent, sharpest decline in the Dow.
PriceSmart, a distributor specialising in the stores warehouse in central America and the Caribbean, has dropped him from 10,71%, after the publication of quarterly results below expectations.
Some 5,30 billion shares changed hands on u.s. markets, compared with an average of 6.98 billion over the last 20 sessions.
THE DOLLAR, WIDENING ITS LOSS
On the foreign exchange market, the dollar widened its losses after the monthly report on u.s. employment, currency traders are showing more sensitive to the unemployment rate, started to rise again and, most importantly, the modest increase in the average hourly wage that the job creations.
The greenback has surrendered to 0.5% against a basket of currencies of reference. The euro rose to 1,1742 against the dollar, after a peak at 1,1767, its highest level against the greenback since the 14 June, the date of the last monetary policy meeting of the european central Bank (ECB).
The yield on government bonds us to ten years of age has also declined to 2,8254%, against 2,84% on Thursday evening.
On the front oil, the Brent and light crude to u.s. West Texas Intermédiate, WTI) have evolved in a haphazard manner, the first moving downward, while the second had purchases of coverage. The tensions related to the international trade in addition to the reports of an increase in the production of saudi arabia 500,000 barrels per day in the last month have weighed on prices.
(With Sruthi Shankar and Savio D’souza; Catherine Mallebay-Vacqueur for the French service)