Strong jobs data hammer mood ahead of US CPI, earnings [Video]

Ipek Ozkardeskaya Swissquote Bank Ltd

Surprise! The US economy added more than 250K new nonfarm jobs in December, some 90K more than expected, and the unemployment rate fell to 4.1%. If it’s any comfort for the Federal Reserve (Fed) doves: wages growth softened from 4% to 3.9% on a yearly basis. But all in all, the report looked very strong, and further hammered the dovish Federal Reserve (Fed) expectations. The US yields and the dollar gained, equities fell and the VIX index flirted with the 20 level, suggesting mounting discomfort among investors.

But not in oil! US crude oil jumped on fresh US and UK sanctions against Russian oil companies and vessels that transport this oil.

The new week has a busy economic and corporate calendar. The US inflation update, the Big bank and TSM earnings will be closely watched by investors around the world.

Author

Ipek Ozkardeskaya

Swissquote Bank Ltd

Ipek Ozkardeskaya began her financial career in 2010 in the structured products desk of the Swiss Banque Cantonale Vaudoise. She worked in HSBC Private Bank in Geneva in relation to high and ultra-high-net-worth clients.

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