US Stock Market Participants Focus On U.S. Labour Situation

In today's global markets update, we bring you the latest news from various regions.

Spain and France successfully sold long-dated bonds, which were well-received by market participants. Meanwhile, in the United States, anticipation is high for a 25 basis point cut in US interest rates at the Federal Reserve's September 16-17 meeting.

In Europe, the 10-year German Bund yield fell to 2.71% from 2.74% the previous day, while the 30-year Bund yield dropped to 3.33% from 3.36%. France offered the 2042 and 2056 maturities with yields rising compared to previous auctions, but still below economists' expectations of a gain of 75,000 jobs in August for the US jobs data.

The US labor market is sending weak signals, with US companies adding fewer jobs than expected last month. According to a survey by payroll processor ADP, non-farm private employment rose by just 54,000 jobs in August, below the revised 104,000 increase in July. Many investors remain cautious ahead of the official US jobs report.

In the Eurozone, bond markets were quieter after recent turmoil, with yields on major issuers falling. Japan also successfully placed its 30-year bond in an auction.

Elsewhere, the British budget airline Jet2 issued a cautious outlook for the full year, causing shares to fall by nearly a quarter at one point. The German benchmark index Dax closed at 23,770 points with a gain of 0.7% on Thursday.

In the media sector, MFE-MediaForEurope (MFE) acquired a controlling stake of 75.61% in ProSiebenSat.1. MFE-Holding now holds a clear majority in ProSiebenSat.1, allowing it to push ahead with the planned restructuring of the TV group. ProSiebenSat.1 shares traded higher during the day.

Jochen Stanzl, Chief Market Analyst at CMC Markets, warned that if the jobs data comes in stronger than expected and inflation turns out to be too hot next week, the Fed may not be able to switch to a faster pace of rate cuts. The Euro Stoxx 50 also traded in positive territory.

Overall, global markets remain cautious ahead of key economic data releases, particularly the US jobs report. Stay tuned for more updates as the week progresses.