- US equities caught a firm bid on Friday after a bumper NFP beat.
- The S&P 500 has pinged a new high for the week as investors pile out of safe havens to close out the trading week.
- Inflation data for the US will be the key focus moving forward as markets watch the Fed carefully.
The Standard & Poor's (S&P) 500 soared late Friday into $4,305 after markets yanked out the stopper and went full risk-on after US Non-Farm Payrolls handily beat the street, printing at a forecast-clobbering 336K against the anticipated 170K, and the previous figure was also revised higher to 227K from 187K.
US Nonfarm Payrolls soar by 336,000 in September vs. 170,000 forecast
US equities have been knocked lower as of late, crushed underfoot by rising US Treasury yields. Investors, fearing that still-high inflationary pressures will keep the Federal Reserve (Fed) stuck in a higher-for-longer rate cycle.
Next week sees US Producer Price Index (PPI) numbers and the latest draft of the Fed's meeting minutes, and investors will be turning an eye towards next week's Consumer Price Index (CPI) to re-focus on inflation pressures after Friday's focus shift.
US: All eyes will be on inflation data – RBC
S&P 500 technical outlook
The S&P 500 closed out the trading week at $4,305 after tapping a new weekly high of $4,321.94. The major US equity index fell to an intraday low of $4,208.68 on reaction to the bumper NFP reading, before market sentiment shifted into high gear and giving the S&P a much-needed rebound into a new high for the week.
On the daily candlesticks the S&P 500 is in desperate need of a bullish extension after seeing a bullish rejection from the 200-day Simple Moving Average (SMA) near $4,220, but the index still remains firmly bearish, still down 6.5% from July's peak of $4,607, and is still stuck below technical resistance from the 50-day SMA at $4,421.78.
S&P 500 daily chart
S&P 500 technical levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD retreats to 1.0700 area following post-PCE jump
![EUR/USD retreats to 1.0700 area following post-PCE jump](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/EURUSD/photo-of-the-american-and-euro-banknotes-57153806_XtraSmall.jpg)
After spiking to a daily high of 1.0720 with the immediate reaction to US PCE inflation data, EUR/USD lost its traction and declined to the 1.0700 area. Investors remain cautious ahead of this weekend's French election and make it difficult for the Euro to gather strength.
GBP/USD stays below 1.2650 after US inflation data
![GBP/USD stays below 1.2650 after US inflation data](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/GBPUSD/iStock-688526532_XtraSmall.jpg)
GBP/USD struggles to preserve its bullish momentum and trades below 1.2650 in the American session on Friday. Earlier in the day, the data from the US showed that the annual core PCE inflation declined to 2.6% in May, limiting the USD's upside and helping the pair hold its ground.
Gold keeps its daily gains near $2,330 following US PCE data
![Gold keeps its daily gains near $2,330 following US PCE data](https://editorial.fxstreet.com/images/Markets/Commodities/Metals/Gold/stacked-gold-bars-13094022_XtraSmall.jpg)
Gold prices maintain their constructive bias around $2,330 after US inflation readings gauged by the PCE matched consensus in May and US yields advance slightly across the curve.
BTC struggles around the $62,000 level
![BTC struggles around the $62,000 level](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/cryptocurrenciesusd_XtraSmall.jpg)
Bitcoin price faces pullback resistance at the lower band of the descending wedge around $62,000. Ethereum price finds support at $3,288, the 61.8% Fibonacci retracement level. Ripple price faces resistance at $0.500, its daily resistance level.
French Elections Preview: Euro to suffer after the calm, as specter of extremists, uncertainty rise Premium
![French Elections Preview: Euro to suffer after the calm, as specter of extremists, uncertainty rise](https://editorial.fxstreet.com/images/Macroeconomics/Countries/Europe/Eurozone_countries/France/pantheon-paris-with-french-flag-8748101_XtraSmall.jpg)
The first round of French parliamentary elections is set to trigger high uncertainty. Soothing messages from the far right and far left leave the Euro vulnerable to falls. Calm may return only after the second round of voting on July 7.