(CercleFinance.com) – After an initial good reception to the employment report, the American equity indices tipped into the red in the second part of the session on Friday: the Dow Jones fell by nearly 1.1% to 31,318 points, and the Nasdaq Composite, 1.3% to 11,631 points.
After 526,000 creations in July, the United States economy generated only 315,000 non-farm jobs in August, the unemployment rate rose by 0.2 points to 3.7% and the average hourly income increased at an annual rate of 5.2%.
‘It is unlikely that the Fed will use this moderate slowdown in employment growth as an opportunity to raise its rates by only 50 basis points in September’, reacted Commerzbank, however, still counting on 75 basis points.
As a reminder, Jerome Powell had hit the markets the previous week, during the Jackson Hole symposium, by implying that they should not expect a reversal from the Fed anytime soon.
Another sign of the slowdown in activity in the United States, orders to industry fell by 1% in July, while economists were counting on the contrary on a very slight increase compared to the previous month.
“Meanwhile, news of an extended shutdown of the Nord Stream gas pipeline – a key European gas pipeline – has weighed on general sentiment as we head into the long holiday weekend,” Wells Fargo noted on Friday. evening.
In stock news, Broadcom gained 1.7% as the semiconductor software group reported adjusted EPS of $9.73 for its third fiscal quarter, up nearly 40% year-on-year. .
Starbucks fell 2.9% after the coffee chain announced the appointment of Laxman Narasimhan as chief executive from October 1, and as a member of the board of directors.
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