The US stock market indices open lower after the better-than-expected US jobs data

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The US stock market indices open lower after the better-than-expected US jobs data

<p>The better US jobs data, keeps the Fed on track toward a 75 basis point hike in early November and another 50 basis points in December. That would bring the Fed target rate to 4.5%. The question is what will the terminal rate be and when?  The Fed dot plot saw a terminal rate at 4.6% in 2023 which implies just a single 25 basis point hike in 2023.  The Fed is looking at the 4.50-4.75% rate as being restrictive.  Is it restrictive enough?</p><p>PS There is a 92% chance of a 75 basis point hike at the November meeting</p><p>Next week, the US CPI and PPI data will be released. </p><p>A snapshot of the market after the initial minutes of trading shows:</p><ul><li>Dow down -341 points or -1.12% at 29595.33</li><li>S&P down -51.59 points or -1.84% as 3692.94</li><li>Nasdaq down -203.57 points or -1.84% at 10869.74</li><li>Russell 2000 down -21.32 points or -1.22% at 1731.18</li></ul><p>A look at other markets currently shows:</p><ul><li>2 year yield 4.30%, +5.0 basis point</li><li>5 year yield 4.13%, +7.2 basis points</li><li>10 year yield 3.89%, +616 basis points (the high yield reached 4.01% in 2022 so far)</li><li>30 year yield 3.858%, +6.6 basis points</li></ul><p>in other markets:</p><ul><li>spot gold is down around $10 at $1701.95 as it reacts to the the dollar higher/ rates higher trends</li><li>spot silver is down $0.21 or -1.55% at $20.32</li><li>crude oil is trading up $1.52 at $89.92</li><li>The price bitcoin is trading below the $20,000 level at $19,588</li></ul><p>A snapshot of the currency markets shows the CAD is the strongest while the EUR is the weakest. The US dollar is mixed after trading lower before the report. </p>

                This article was written by Greg Michalowski at forexlive.com.

Source: The US stock market indices open lower after the better-than-expected US jobs data

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