Asian stocks mostly up after US jobs report


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U.S. Treasury Secretary Janet Yellen speaks at a press conference after attending the G-7 Finance Ministers’ Meeting at Winfield House on June 5, 2021 in London, England.

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Asian markets generally rose on Monday, in their first reaction to a US jobs report that showed improvement but not dizzying acceleration in the labor market of the world’s largest economy.

the

Nikkei 225

rose 0.3% in Tokyo, and the

Kospi Composite

rose 0.4% in Seoul. the

Hang Seng

fell 0.5%.

The Stoxx Europe 600 slipped 0.1% after closing at a record low on Friday.

U.S. equity futures were also weaker, following the

S&P 500

finished Friday at the second highest level in history. The Labor Department said 559,000 new non-farm jobs were created in May, which is behind economists’ forecasts for a second month. BCA Research analysts say more workers will return to the workforce once child care and education services reopen and additional federal unemployment insurance benefits expire.

Luca Paolini, chief strategist at Pictet Asset Management, said the possibility of high inflation coinciding with slowing economic and corporate earnings growth should worry investors, especially as the gap between yield equity and bond yields are at their 2008 low.

Investors were also weighing on the Group of Seven industrialized nation’s agreement to apply a 15% global minimum corporate tax, although there is still a long way to go before it is implemented. Giant of electronic distribution

Amazon

would be excluded from the G-7 tax deal because of its low margins, experts say.

The American Society of Clinical Oncology holds its annual meeting on Monday, which often results in price fluctuations in the pharmaceutical and biotech industries.


About Hector Hedgepeth

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