The US labor market below expectations: created 160 thousand places – The Republic

MILAN – Hours 14:35. The markets recorded a slowdown in the US labor market, which has created 160 thousand jobs in April. The expectations of economists followed by Bloomberg indicated the creation of 200 thousand jobs and the final figure is the lowest for seven months; They were also revised down the numbers on the creation of new posts in previous months. Unchanged, the unemployment rate, which has a different statistical basis, at 5%, the level which is equivalent to “full employment.” Production decreased the rate of participation in the work fell to 62.8%, again below forecasts. Unique look over the forecast is the wage growth, at 2.5%.

It is important reliefs view to Federal Reserve , the US Central Bank that initiated the rise in interest rates in December 2015, but has slowed down as a result of the beginning of the year the financial turmoil and the worsening global economic conditions. Now, these numbers at work can be read with concern, especially if associated with the slowdown of the US GDP in the first quarter of the year. Some senior officials in Washington have re-opened the door to a possible rate hike in June, and yet, the markets, the possibility of an increase in the cost of money falls below 10%.

In the left graph, the decline in the US unemployment rate. In the right one, the level of creating jobs, month by month

The context of price lists in recent weeks has been uncertainty, fueled by data on the fragility of the economy world, coupled with fears about the uncertainty of the central bank policies. Milan Expands losses with report on US labor at -1.2%, London moves back of 0.8%, Frankfurt of 0, 7% and Paris of 1.25%. Also in Wall Street futures extend discounts. In Milan the banks are always protagonists: yesterday the meeting of Popolare di Vicenza has generated a turnaround in the Venetian popular, expect within the next few days the first steps for the capital increase. Instead squirts upward Mps, who yesterday announced quarterly accounts (profit 94 million) above expectations.

also on the currency front will record the reactions the publication of the US data. The dollar, which had strengthened in recent hours, returns to weaken trading at 1.1442 against the euro after coming up to the exit of 1.1480 as the US. In Europe, the agenda is rather low and only bears the Spanish data on industrial production rises 2.8% seasonally adjusted annual in March, driven by the production of goods and intermediate equipment, advancing 9.2%.

In the morning, as mentioned, the Asian Squares treated downward: the Tokyo Stock exchange , returned to trade after a few days of closure for holidays, lost 0.25%. China’s central bank has drained 220 billion yuan (33.85 billion US dollars) from the market, this week, in order to ensure the supply of stable currency. In Japan , the services PMI index stood at 49.3 points in April, down from 50 points in the previous month (the threshold that represents the separation between expansion and contraction of the economy).

in terms of raw materials, the oil to June Nymex marks a -0.97% to $ 43.89 a barrel. After US data, extends the ‘ Gold to $ 1,290 per ounce (+ 1.5%) as well as the American, whose ten-year yield fell to 1.71%.