Declines in the US after data from the labor market, investors are gearing up for the Fed – Interia

At the close the Dow Jones Industrial fell by 0.27 per cent., To 17373.38 points.

S & amp; P 500 lost 0.29 percent. and amounted to 2,077.57 points.

The Nasdaq Comp. It fell by 0.26 per cent. and amounted to 5,043.54 points.

The number of jobs in non-agricultural sectors in the United States in July increased by 215 thousand., while in June rose by 231 thous., after correction – US Department of Labor announced on Friday . The US unemployment rate in July was 5.3 per cent., Compared to the 5.3 percent. in June.

Analysts surveyed by Bloomberg had expected the US unemployment rate at 5.3 percent. and that the number of jobs in non-agricultural sectors will increase by 225 thousand. to 223 thousand. in June before correction.

Hourly Wages rose in July by 0.2 percent MoM, compared to no change the month before. Here it was expected in July reading of 0.2 percent. In yoy terms. However, the indicator reading was below expectations and pointed to an increase of 2.1 percent. against the expected 2.3 percent.

The likelihood of interest rate hikes by the Federal Reserve in September exceeded 50 percent. after the publication of the report of the US labor market for July on Friday – indicated by the analysts Royal Bank of Scotland.

RBS analysts calculations show that the trading of futures contracts on the interest rate the Fed suggest that the probability of Fed hikes in September increased after the publication of the report from the labor market to 55 percent. with 47 per cent. before the public.

“The labor market data were good enough to qualify as an improvement in the labor market. They are not good enough to be ended debate on the term increases’ – RBS analysts evaluated.

In a statement issued after the July meeting of the Fed stated that raise interest rates if the labor market will show “some” further improvement.

“The Fed meeting in September will get another monthly report on the labor market for August. While at the September rate hike definitely comes into play” – rated CNBC Art Hogan, chief investment strategist at Wunderlich Securities.

In the spotlight were on Friday also falling oil prices. Brent prices were during Friday’s trading below $ 49 the barrel, which is their lowest level in six months.

The stock price of raw materials has hampered Baker Hughes report on oil production in the US. With weekly data published by Baker Hughes shows that last week rose again in the US the number of mining installations. The number of US drilling rigs increased in five of the past six weeks – according to estimates from Baker Hughes.

Falling for the sixth consecutive week, oil prices are bad news for the largest US oil companies. Their trading continued to decline on Friday and are now at the lowest levels since 2012.