Wall Street is mixed on Thursday after another disappointing federal report showed a tight US labour market.
Halfway through the session, the Dow Jones Industrial Average is up around 0.43%, or 155 points, the S&P 500 is down roughly 0.25%, while the Nasdaq Composite is off approximately 1.02%.
During trading on Wednesday, the Dow Jones went 0.11% higher, the S&P 500 went up 0.2%, while the Nasdaq Composite popped 0.23%.
More American jobless claims
The latest data compiled by the US Department of Labor shows seasonally adjusted initial claims for the week ending 8 January hit 230,000, a jump of 23,000 from the previous week's unrevised level of 207,000.
The moving average over a four-week period was 210,750, adding 6,250 from the previous week’s unrevised average of 204,500.
In an interview with Capital.com, Clemson University economics professor and department chair Scott Baier said the weekly jump in unemployment claims was “most likely the result of rising Covid cases.”
“Along with yesterday's inflation announcement and last week’s unemployment numbers, it will be interesting to see how the Federal Reserve responds in the coming months,” he continued. “If they believe we are driven by inflation while close to full employment, they will make a more concerted effort to slow the inflation down.”
On Wednesday, the US Bureau of Labor Statistics reported the Consumer Price Index (CPI) was up 7% in December – the largest 12 month increase since June 1982.
Core CPI – which excludes the volatile food and energy components – rose 5.5% for the 12 months leading into December, its highest point since February 1991.
Winners & losers: Travel up
Oil: Crude sinks after high
Oil futures are lower on Thursday with West Texas Intermediate crude for February delivery slipping 38 cents, or 0.5%, to $82.26 a barrel on the New York Mercantile Exchange, while March Brent crude, the global benchmark, dropped 28 cents, or 0.3%, at $84.39 a barrel on ICE Futures Europe.
Gold: Yellow metal down
Gold futures are lower for the first time in five sessions as February gold fell $9.30, or 0.5%, to $1,818 an ounce, after rising 0.5% on Wednesday.
Crypto: Digital assets fall
Prominent cryptocurrencies are mostly lower on Thursday with bitcoin down 1.68%, ethereum down 2.37%, while litecoin is off by 3.34%, and monero holding into yesterday’s gains at 6.05% in green territory.
Forex: US buck slips
On Thursday, one US dollar equals $1.25 of the Canadian dollar and $0.87 of the euro.
The yield on the benchmark 10-year U.S. Treasury note improved to 1.727% Thursday from 1.724% Wednesday.
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You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
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