Wall street gains, U.S. market news June2

Today’s main U.S. market news –

1. After the jobs report, Wall Street rises, and a debt default is avoided.
2. After payroll reports, U.S. rates and the dollar slightly increase.
3. The U.S. economy created 339,000 new jobs in May.
4. US businesses increase hiring in May, while the unemployment rate rises to 3.7%
5. Dow futures gain 165 points, but May nonfarm payrolls are a major factor.
6. Wall Street surges in anticipation of the Fed stopping hikes and with relief over the debt ceiling
7. The Senate has approved a bill to raise the debt ceiling, and the May jobs report is pending.
8. UBS CEO forewarns of difficult job decisions following Credit Suisse acquisition
9. After a beat-and-raise quarter, Lululemon Athletica is up 15%, and analysts are bullish.
10. J&J obtains dismissal of whistleblower case for misusing private information
11. Payrolls are due later; dollars slip as the debt ceiling bill advances.
12. The UN food agency reports that in May, global food prices reached a two-year low.
13. Analysis: The ITA agreement with Lufthansa signals future airline alliances in Europe
14. Canada’s Meta will test limiting some news access on Facebook and Instagram.
15. The United States fined British Airways $1.1 million for late reimbursements.
16. As the market anticipates potential OPEC+ reduces
17. According to ISM, American manufacturing activity fell more rapidly in May.
18. U.S. crude supplies increased by around 4.5M barrels last week, according to the EIA
19. After the debt ceiling bill advances, global equities increase and U.S. yields decrease.
20. Investors allege Elon Musk of insider trading in a Dogecoin lawsuit.
21. U.S. consumer outlook deteriorates as high-end stores and discounters lower expectations
22. Dow declines as Salesforce slump dampens debt agreement enthusiasm
23. Salesforce dampens gains as Wall Street rises on optimism about the debt agreement.
24. Dollar General lowers annual projections as American consumers become more wary
25. JPMorgan will close 21 First Republic Bank locations exclusively
26. Swiss Finance Minister: Credit Suisse has repaid government-backed cash.
27. American first-quarter productivity revised up; growth in labour expenses down

GLOBAL NEWS 

1. SE 100 Live: U.S. debt ceiling progress boosts sentiment
2. Pakistan lays forth the procedure for barter commerce with Russia, Iran, and Afghanistan.
3. First quarter domestic economic growth is back in Ireland.
4. Analysts predict that Sri Lanka will keep its policy-loosening trajectory and slash rates again in August.
5. Asian markets are trading higher, with the Hang Seng up by 2%.
6. European markets are up; a positive sentiment boost from French industrial production
7. Oil prices soar after the US debt ceiling bill is approved by Congress.
8. RBA will maintain rates at 3.85% in June, but they could increase soon.
9. Nikkei finishes at a 32-year high as concerns about US default subside
10. Largest pension fund in Australia halt operations with PwC as auditor. 
11. Brazil’s GDP increased in the first quarter by more than anticipated because of the farm sector.
12. In May, industry activity in Canada resumed declining.
13. IKEA retailer Ingka purchases a warehouse software company. Made4Net
14. Russia will keep rates next week, and a Reuters poll indicates that 2023 GDP growth will be increasing.
15. Russia claims that as part of a surveillance plan, the US accessed thousands of Apple phones.
16. Pakistan records high inflation for the second month in a row.

Economic data

•  Jobs data remains strong; The ADP national employment report demonstrates that the U.S. employment climbed by 278,000 private sector jobs in May, well exceeding the projection of a growth of 170,000 jobs (albeit the prior month was only marginally corrected to 291K from 296K).

• U.S. Q1 non-farm productivity was lowered to -2.1% from the previous (-2.7%) and -2.5% from the consensus, while Q1 non-farm unit labour costs were changed to +4.2% from the prior +6.3% and +6.0%.

• Weekly Jobless Claims increased to 232K in the most recent week compared to an expectation of 235K, while the prior week’s total was reduced from 229K to 230K. The 4-week moving averages decreased to 229,500 from 232,000 the prior week, and continuous claims increased to 1.795M from 1.789M.

• Challenger Grey reported an increase in job loss announcements of 287% y/y compared to 176% in the previous month. The tech sector topped the pack with 22,887 cutbacks in May and a total of 137k YTD, the largest since 2001.

• The ISM U.S. Manufacturing activity index decreased to 46.9 in May from 47.1 in April (estimated to be 47.0) as prices paid index fell to 44.2 in May from 53.2 in April, new orders index down to 42.6 in May from 45.7 in April, and the employment indicator increased to 51.4 in May from 50.2 in April.

Economic Calendar

Friday June 2nd

•     8:30 AM                  Nonfarm Payrolls for May
•     8:30 AM                  Private Payrolls for May
•     8:30 AM                  Unemployment Rate for May
•     8:30 AM                  Unemployment Rate for May
•     8:30 AM                  Average Hourly Earnings M/M for May
•     1:00 PM                   Baker Hughes Weekly rig count data

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