🗓 Friday, September 5, 2025
► Europe firmer – bonds and equities supported ahead of jobs data
European equities pushed higher as investors awaited the decisive US payrolls report. The Stoxx 600 +0.25%, DAX +0.2%, CAC 40 flat, FTSE 100 +0.25%, Italy’s FTSE MIB +0.35%, IBEX +0.1%. Bond markets steadied with Bunds at 2.71% and UK Gilts 4.71%. EUR/USD 1.169 (+0.4%), GBP/USD 1.348 (+0.3%), USD/JPY 148.1 (-0.2%). Traders also noted softer ADP payrolls yesterday, reinforcing expectations for a Fed cut, while Eurozone inflation remains slightly above target.
► Wall Street steady – all eyes on NFP
US futures modestly higher, Nasdaq +0.4%, S&P 500 +0.15%, Dow flat. Broadcom jumped +8.5% after initially muted reaction to strong earnings, then surged on news of a groundbreaking $10 billion order from OpenAI to mass-produce custom AI chips – strengthening its position as Nvidia’s top challenger. Lululemon plunged -13% on weak revenue/guidance, dragging consumer stocks. Investors are laser-focused on today’s NFP: consensus +75K jobs, unemployment 4.3%. ADP’s softer reading yesterday added to confidence that the Fed is firmly on track to cut rates in September. Robert Lindner, Chief Analyst at SmartTrader, noted only a major upside surprise could threaten expectations for a rate cut. US yields slightly lower: 10Y at 4.155% (-2bp). Dollar weaker (DXY -0.38%).
► Asia higher – China & Japan lead gains
Asian equities rallied strongly on optimism for US jobs and fresh AI momentum. Shanghai +1.2%, Shenzhen +3.9% after regulators signaled support for liquidity, while Hong Kong’s Hang Seng +1.4%. Japan’s Nikkei +1.0% rebounded, supported by tech and exporters. Korea’s Kospi +0.1%, Australia’s ASX +0.5%. Taiwan +1.3%, India’s Nifty flat. FX relatively calm: USD/CNY 7.14, USD/JPY 148.1, AUD/USD 0.655 (+0.5%).
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