World stock markets uneven ahead of key US job report
European stocks rose while Asian markets were lackluster Friday as investors waited for a U. S. jobs report that could influence whether the U. S. Federal Reserve chooses October or December for its first interest rate hike in nearly a decade.
European benchmarks gained in early t rading. France’s CAC- 40 added 1.1 percent to 4,476.27 and Germany’s DAX gained 0.9 percent to 9,598.17. Britain’s FTSE 100 rose 0.9 percent to 6,129.84. U. S. stocks were poised to open higher. Dow futures were up 0.3 percent to 16,234.00 and broader S& P 500 futures rose 0.3 percent to 1,922.30.
Investors were gearing up for the release of Friday’s U.S. employment report. Employers in the world’s biggest economy are expected to have added a healthy 206,000 jobs in September, resulting in the unemployment rate holding steady at 5.1 percent, according to analysts’ forecasts. The numbers are taken into consideration by the Fed as it mulls raising interest rates from record low levels, with its next decision scheduled for Oct. 28. The following policy meeting is in December. However, there are worries a rate hike could also add to uncertainty in global financial markets as many countries struggle with slower than average economic growth.
“We will spend today patiently waiting for the latest set of U.S. payrolls data, which may tell us how much longer we have to wait for the Fed to deliver a monetary policy tightening that most of the global economy is simply not ready for,” Rabobank analyst Mi- chael Every said in a commentary.
Markets in the region drifted, with Japan’s Nikkei 225 rising less than 0.1 percent to end at 17,725.13. South Korea’s Kospi slipped 0.5 percent to 1,969.68. Hong Kong’s Hang Seng rebounded after a holiday, jumping 3.2 percent to 21,506.09 in a delayed reaction to a report that showed a small improvement in Chinese manufacturing. Australia’s S&P/ASX 200 lost 1.2 percent to 5,052.00. Markets in mainland China are closed for holidays until Oct. 8. Stock benchmarks in Southeast Asia were mixed.