In global markets, all eyes are on US employment data
Attention in global markets turned to non-agricultural employment data from the USA. Before the data, cautious pricing was seen in the markets.
The rise in stocks and bonds was paused before the US non-farm employment data.
US indices S&P 500 and Nasdaq, which were close to record levels, closed Thursday with slight losses. The futures of the two indices are trending horizontally.
While US bond yields rose slightly across all maturities, the 10-year bond yield increased by one basis point and was traded at 4.297 percent.
Moderate movements were also observed in Asia Pacific indices. While the MSCI Asia Pacific index remained flat, Japan and China indices displayed a weak outlook. Bloomberg Dollar Index is flat at 1,252 points.
Positive export data in China
Chinese exports increased above expectations, indicating that the world’s second largest economy is gaining momentum on the road to recovery.
While Chinese exports recorded an annual growth of 7.6 percent in dollar terms in May, imports increased by 1.8 percent. Thus, China achieved a foreign trade surplus of 82.6 billion dollars in one month. Economists expected exports to grow only 5.7 percent annually.
Jones Lang LaSalle Chief Economist Bruce Pang predicted that China will continue to maintain its competitiveness due to the strong dollar and the price advantage of its exporters. The weakening of domestic consumption expenditures and the problems experienced in the real estate sector made Chinese exports more important.
On the other hand, the USA and Europe raised customs walls, especially for electric cars originating from China. With the data, it has been seen that this move has not yet had a negative impact on Chinese cars. In May, Chinese electric vehicle exports fell slightly from April’s record level of $10.7 billion.