Reuters - Video

Edition: US | UK | IN | CN | JP

video Finance Videos

Rampant nervousness ahead of jobs data

Thursday, June 06, 2013 - 02:22

June 6 - Summary of business headlines: Stocks, bonds and the dollar take wild swings as investors prepare for Friday's key employment report; chain store sales warm up with weather; Verizon quiet on telephone record release to U.S. government. Conway G. Gittens reports.

▲ Hide Transcript

View Transcript

Nervousness and uncertainty ahead of Friday's May jobs report - causing volatility all around Wall Street. The stock market, however, fought back losses and prevented what would have been a rare three-day slide. Meanwhile, yields on the 10-year note temporarily tumbled below two percent after surging to a more-than one-year high above two percent just a week ago. And the Dollar Index, which measures the greenback's strength against a basket of currencies, suffered its biggest one-day drop of the year. Investors are biting their nails about Friday's employment report and what the numbers will say about the economy and Fed policy. Reuters Fed and Economy Correspondent Alister Bull: SOUNDBITE: ALISTER BULL, FED AND ECONOMY CORRESPONDENT, REUTERS (ENGLISH) SAYING: "The U.S. economy needs to be creating about 150,000 new jobs every month just to keep up with population growth. It's been creating about 200,000 jobs a month for the last six months, if it maintains that sort of pace, I think the Fed will feel confident that it is on the right track - it sees the significant improvement that it wants and will be able to start tapering towards the end of the year." Ahead of the Friday data, jobless claims fell last week - suggesting the labor market is not getting weaker, but not getting stronger either. In another economic signal: reported chain store sales rose as expected last month. Warmer temperatures drove demand, at the same time lower gas prices put some extra change in consumer wallets. Verizon is not being very chatty. A news report revealed that it handed over telephone records for millions of American customers to the U.S. government. The request was part of counterterrorism efforts. A senior White House official said identities or content were not revealed. Verizon refused to comment. New speculation on a streaming music service from Apple. Sources say the company is getting ready to sell ads for the service referred to as "iRadio" by industry insiders. An official unveiling is expected at next week's developer's conference. In Europe, The European Central Bank did not change interest rates, but hinted it will add stimulus if the euro zone does not pull out of recession. Investors were hoping for action, rather than talk, sending stocks down at least one percent.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Rampant nervousness ahead of jobs data

Thursday, June 06, 2013 - 02:22