• Wall Street equities closed higher on July 5, with the DJIA climbed by +0.17%, the S&P 500 advanced by +0.54% and the Nasdaq closed up by +0.90%.
• Stocks indexes rose Friday, with the S&P 500 and Nasdaq hitting record highs. Support came from the US June report bolstered expectations of a Fed rate cut this year. June nonfarm payrolls rose by +16,000, exceeding expectations, but May payrolls were revised down by -54,000.
• The 10-yr UST yields dropped by -8.0 bps to 4.28%, while the 2-yr yields tumbled by -11.0 bps to 4.60%. Yields declined across the board on Friday as the US June unemployment rate reached a 2.5-year high, indicating a softening US labor market.
• The US June NFP grew by 206,000, exceeding expectations of 190,000. However, May's nonfarm payrolls were revised down from 272,000 to 218,000. Additionally, the June unemployment rate rose unexpectedly to a 2.5-year high of 4.1%, highlighting a weaker labor market than the anticipated unchanged rate of 4.0%.
• US June average hourly earnings grew by 3.0% YoY, a decrease from 4.1% YoY in May, matching expectations and marking the slowest growth in 3 years.
• In Asia, China's foreign exchange reserves decreased by USD9.7 billion to USD3.222 trillion in June 2024, down from USD3.232 trillion in May.
• Global bond yields were mixed on Friday: the 10-yr German bund yield lowered by -5.2 bps to 2.55%, the 10-yr UK gilt yield slid by -7.2 bps to 4.13%, and the Japanese 10-yr JGB yield edged down by -0.2 bps to 1.08%.
