Technical Analysis Report, Economic News & Price Chart – 06 May 2022

06 May 2022

NON-FARM PAYROLL DATA TO BE REPORTED TODAY

Asia Pacific stocks were mostly down on Friday morning. The Shanghai Composite is down 2.22% at 2,999.70. Overall, the Singapore MSCI is down 2.17% at 304.35. Over in Hong Kong, the Hang Seng Index is down 3.20% at 19,985. In Japan, the Nikkei 225 is up 0.97% at 27,070.00, while the Topix index is up 1.13% at 1917.50. South Korea’s Kospi is down 1.06% at 2649.07. Australia S&P/ASX 200 down 2.20% at 7203.00.

Top News of the Day:

Nonfarm payroll data will be reported Friday 8:30 am ET. With ADP Nonfarm Employment Changes already coming in below expectations for April, all eyes will be on today’s employment data. Analysts polled by Investing.com expect 391,000, below the previous 431,000 reading.

Market Summary as per 05/05/2022:

European equities Thursday closing. The DAX futures contract in Germany traded down 0.49% at 13,902.52, CAC 40 futures down 0.43% at 6368.41 and the UK 100 futures contract in the U.K. up 0.13% at 7,503.26.

In the U.S. on Wall Street, the Dow Jones Industrial Average closed down 3.12% at 32997.98. The S&P 500 down 3.56% at 4146.86 and the Nasdaq 100 down 5.06% at 12850.55, NYSE closes down 2.90% at 15652.60.

Top Market News Today:

In the Forex market, GBPUSD down 0.10% at 1.2344. The USDJPY up 0.30% at 130.579. The USDCHF up 0.24% at 0.9870. EURUSD down 0.24% at 1.0514, EUR/GBP down 0.05% at 0.8517. The USD/CNY up 0.35% at 6.6766 at the time of writing.

In the Commodity market U.S. Gold futures flat at $1,876.52. Elsewhere, Silver futures down 0.32% at $22.410 per ounce, Platinum down 2.80% at $954.50 per ounce, and Palladium down 0.27% at $2182.50.

Crude Oil up on Friday; Brent crude oil up 0.78% at $111.84 per barrel while U.S. West Texas Intermediate (CLc1) up 0.65% at $108.07.

In the Cryptocurrency Markets, Bitcoin at 36431.23 down 0.28%, Ethereum down 0.02% at 2746.97, Litecoin at 98.18 up 1.34%, at the time of writing.

Top Market Segment to Watch Out Today:

TWITTER: The U.S. Federal Trade Commission (FTC) is reviewing Tesla (NASDAQ:TSLA) Chief Executive Elon Musk’s $44 billion takeover of Twitter Inc (NYSE:TWTR), Bloomberg News reported on Thursday, citing a person familiar with the deal.

The agency will decide in the next month whether it will do an in-depth antitrust probe of the proposed transaction, the person told Bloomberg. Such a probe would delay the deal’s closing by months.

Economic News:

US: The U.S. unemployment rate likely dropped to its pre-pandemic low of 3.5% in April, while job growth moderated to a still brisk pace amid widespread worker shortages, underscoring the challenge the Federal Reserve faces to curb high inflation.

The Labor Department’s closely watched employment report on Friday is also expected to show wages rose solidly last month and highlight the economy’s strong fundamentals despite a drop in gross domestic product in the first quarter.

Nonfarm payrolls likely increased by 391,000 jobs last month after rising 431,000 in March, according to a Reuters survey of economists. That would mark a slowdown from the first-quarter average gain of 562,000 jobs per month and snap an 11-month streak of payroll gains in excess of 400,000. Estimates ranged from as low as 188,000 jobs added to as high as 517,000.

The unemployment rate is forecast to drop to 3.5%, which would be the lowest level since February 2020. The jobless rate was at 3.6% in March and has declined by four-tenths of a percentage point this year.

Eurozone: British house prices rose for a tenth consecutive month in April, although the annual rate of growth eased slightly from the 15-year high recorded in March, figures from mortgage lender Halifax showed on Friday.

House prices increased by a hefty 1.1% on the month, down from 1.5% in March, and were 10.8% higher in April than a year earlier, just below the peak of 11.2% recorded in February, which was the largest annual increase since June 2007.

House prices so far have shown little sign of being affected by the cost-of-living squeeze caused by consumer price inflation rising to a 30-year high of 7.0%, despite increasing affordability challenges as prices outstrip pay growth.

Top Economic Releases Today:

U.K. Construction PMI (Apr) today at 4:30 this time estimated 58.0%, previously which was 59.1%.
U.S. Nonfarm Payrolls (Apr) today at 8:30 this time estimated 391K, previously which was 431K.
CANADA Ivey PMI (Apr) today at 10:00 this time estimated 60.0, previously which was 74.2.
RUSSIA Markit Services PMI (Apr) today at 2:00 previously which was 38.10.
GERMANY Industrial Production (MoM) (Mar) today at 2:00 this time estimated -1.0%, previously which was 0.1%.