The Markets Are Waiting for Today’s NFP Report, Unemployment Rates, and Wage Data

market news summary

European stocks closed with little change on Thursday, as losses in shares of companies producing basic and luxury consumer goods offset gains in real estate and financial companies, including UBS. Meanwhile, a set of economic data presented a mixed picture for the Eurozone. The STOXX 600 European index ended the day down by 0.2%, after having risen as much as 0.5% during yesterday’s session.

Additionally, during Thursday’s trading, shares of Shopify rose following an announcement by the Canadian e-commerce company about a deal with the American company Amazon. The deal includes enabling the services of Amazon’s “Buy with Prime” program for sellers and merchants on the Shopify platform.

Dollar Index (USDX)

The dollar index remains stable above its pivot point at $103.55 after a series of economic data that supported its decline earlier this week. Investors are awaiting the non-farm payrolls (NFP) report, unemployment rates, and wage data in the United States to gain a clearer understanding of the Federal Reserve’s future plans.

It is expected that the number of jobs in non-farm sectors will decrease from 187,000 jobs in the previous July report to 169,000 jobs in today’s August report.

Pivot point: 103.40

Resistance level	Support level
103.85	103.10
104.10	102.60
104.60	102.35

Spot Gold (XAUUSD)

Gold prices are poised to achieve gains for the second consecutive week on Friday, supported by diminishing prospects of a US interest rate hike this year, following a week filled with data releases culminating in a crucial jobs report.

Spot gold steadied at $1938.92 per ounce, but it is set to secure a weekly gain of over 1% after prices touched their highest levels in a month last Wednesday.

Pivot point: 1942

Resistance level	Support level
1945	1936
1951	1933
1954	1927

Dow Jones Index (DJ30ft – US30)

US stock indices closed with mixed results on Thursday following data that aligned with expectations for US personal consumption expenditures, boosting investors’ hopes that the Federal Reserve will maintain interest rates in September.

A report from the Department of Commerce showed that the Personal Consumption Expenditures (PCE) Price Index, a preferred measure of inflation for the Federal Reserve, rose by 3.3% in July on a year-over-year basis, in line with expectations.

The Dow Jones Industrial Average declined by 0.48%, or 168 points, on Thursday after four consecutive sessions of gains, concluding the month of August with a decrease of 2.4%.

Pivot point: 34910

Resistance level	Support level
35055	34660
35305	34515
35450	34265

US Crude (USOUSD)

The prices of US crude oil rose by over two dollars per barrel at settlement on Thursday, driven by expectations that OPEC+ production cuts will continue until the end of 2023.

Futures for West Texas Intermediate (WTI) crude oil increased by two dollars, or 2.45%, to reach $83.63 per barrel at settlement. Additionally, Brent crude oil futures closed up by one dollar, or 1.16%, at $86.86 per barrel.

Pivot point: 82.85

Resistance level	Support level
84.30	82.10
85.10	80.70
86.50	79.90

Risk Warning

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