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News

US Stocks Lower; Nonfarm Payrolls Increase More Than Expected

Author: Avi Kapoor | June 07, 2024 09:50am

U.S. stocks traded lower this morning, following the release of jobs data for May.

Following the market opening Friday, the Dow traded down 0.22% to 38,799.25 while the NASDAQ fell 0.43% to 17,098.48. The S&P 500 also fell, dropping, 0.31% to 5,336.48.

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Leading and Lagging Sectors

Communication services shares fell by just 0.1% on Friday.

In trading on Friday, real estate shares dipped by 1.5%.

Top Headline

U.S. nonfarm payrolls increased by 272,000 in May, a slowdown from April's 165,000 and far more than the 180,000 increase anticipated by Econoday.

The unemployment rate inched higher from 3.9% to 4%. Average hourly earnings rose by 4.1% year-over-year, up from 3.9% in April and below the expected 3.9% increase.

Equities Trading UP
                       

  • Venus Concept Inc. (NASDAQ:VERO) shares shot up 128% to $1.4153 on continued upward momentum after the stock regained Nasdaq compliance.
  • Shares of Trinity Place Holdings Inc. (NYSE:TPHS) got a boost, surging 125% to $0.2769 after declining around 11% on Thursday.
  • Leafly Holdings, Inc. (NASDAQ:LFLY) shares were also up, gaining 77% to $3.56.

Equities Trading DOWN

  • Biomea Fusion, Inc. (NASDAQ:BMEA) shares dropped 67% to $3.6725 after the United States Food and Drug Administration (FDA) imposed a full clinical hold on its Phase I/II trials for BMF-219, a diabetes treatment.
  • Shares of Barnes & Noble Education, Inc (NYSE:BNED) were down 32% to $0.22 after the company announced final results of rights offering.
  • Scinai Immunotherapeutics Ltd. (NASDAQ:SCNI) was down, falling 30% to $2.81. Scinai Immunotherapeutics regained compliance with Nasdaq minimum bid price requirement.

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Commodities

In commodity news, oil traded up 0.4% to $75.87 while gold traded down 1.9% at $2,345.20.

Silver traded down 4.3% to $30.03 on Friday, while copper fell 3.2% to $4.5265.

Euro zone

European shares were lower today. The eurozone's STOXX 600 fell 0.3%, Germany's DAX declined 0.8% and France's CAC 40 fell 0.8%. Spain's IBEX 35 Index fell 0.3%, while London's FTSE 100 fell 0.4%.

The Eurozone economy grew by 0.3% on quarter during the first three months of the year, compared to a 0.1% contraction in each of the prior two quarters. The Halifax House Price Index in the UK gained 1.5% year-over-year in May following a 1.1% increase in April.

French trade deficit increased to €7.6 billion in April, compared to market estimates of €5.4 billion. German trade surplus narrowed to EUR 22.1 billion in April versus a revised EUR 22.2 billion in March. Exports from Germany rose by 1.6% month-over-month to a 14-month high level of EUR 136.5 billion in April, while imports to Germany rose by 2.0% to a 10-month high of EUR 114.5 billion.

Asia Pacific Markets

Asian markets closed mixed on Friday, with Japan's Nikkei falling 0.05%, China's Composite Index gaining 0.08%, Hong Kong's Hang Seng Index dipping 0.59% and India's S&P BSE Sensex gaining 2.16%.

Foreign exchange reserves in Singapore rose to SGD 500.86 billion in May versus SGD 500.30 billion in the prior month, while China’s foreign exchange reserves climbed to $3.23 trillion in May from $3.2 trillion a month ago. China’s trade surplus increased to $82.62 billion in May from $65.55 billion in the year-ago period.

The index of leading economic indicators in Japan fell to 111.6 in April versus a revised 111.7 in the prior month, while index of coincident economic indicators rose to 115.2 in April from a revised 114.2 in the previous month. The Reserve Bank of India maintained its benchmark policy repo at 6.5% in June.

Economics

  • U.S. nonfarm payrolls increased by 272,000 in May, a slowdown from April's 165,000 and far more than the 180,000 increase anticipated by Econoday.
  • The unemployment rate inched higher from 3.9% to 4%. Average hourly earnings rose by 4.1% year-over-year, up from 3.9% in April and below the expected 3.9% increase.

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Posted In: BMEA BNED LFLY SCNI TPHS VERO