S&P 500 Futures Lower After Weak Jobless Claims Data

S&P 500 futures recover some of the early losses after the U.S. initial jobless claims came in at 2438K slightly higher from the estimate of 2400K as the coronavirus lockdown continues to impact the U.S. job market. The positive is that the figure was the seventh straight week of a declining pace after the peak in March that hit 6.900K. The Continuing Jobless Claims came in at 25.073K above the expectations of 24.765K on May 8.

Philadelphia Fed Manufacturing Disappoints

The Philadelphia Fed Manufacturing Survey registered in at -43.1, below the consensus of 41.5 in May. The index hit a 40-year low in April, the diffusion index for current general activity rose 13 points to -43.1, the third consecutive negative reading. The percentage of firms reporting decreases this month (58%) far exceeded the percentage reporting increases (15%). The index for new orders increase 45 points out of an all-time low, from -70.9 to -25.7. The current shipments index increased 44 points out of an all-time low last month, from -74.1 to -30.3. Unfilled orders held steady at -13.7, while delivery times fell 11 points to -6.7, implying shorter delivery times.

On the news, the futures in Wall Street trade close to daily highs. S&P 500 futures are -0.21% at 2,962, while the Dow Jones futures are -018% at 24,474. Nasdaq futures are -0.16% at 9,470.

European Markets Lower Amid Escalation On China-USA Trade Tensions

European stocks are trading lower by midday, despite better than expected PMI’s data from Europe. The EMU Manufacturing PMI came in at 39.5 above the forecasts of 38 in May. The Services PMI came in at 28.7 also above the forecasts of 25 while the PMI Composite came in at 30.5 above the expectations of 24 in May. CAC 40 is 0.73% at 4,463 as the France Manufacturing, and Services PMI’s also beat the expectations. Dax index is 0.98% lower at 11,113 after the Germany Manufacturing PMI came in at 36.8 below the expectations of 39.2 in May. The PMI Composite registered at 31.4 below the consensus of 34.1. However, the Services PMI came in at 31.4, topping the consensus expectations of 26.6.

FTSE 100 is 0.31% lower at 6,048 after UK Manufacturing PMI came in at 40.6 topping the expectations of 36 in May. The Services PMI came in at 27.8 above the forecasts of 25. 

Crude Oil Price At 10-Month Highs  

WTI crude oil futures trades 2.33% higher at 34.28 as global demand for crude oil peaks up. The Brent crude oil is 2.89% higher at $36.81. The Gold price retreat today as investors booking some profits, as of writing is 0.66% lower at 1,735, while silver price is 1.44% lower at 17.22.

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