Stock markets mostly fell on Friday as a much stronger-than-expected US jobs report raised the prospect that the Federal Reserve will maintain its aggressive monetary policy to combat inflation.
The benchmark S&P 500 ended only 0.2 per cent lower after recovering from an early slide as investors reacted to the report. This showed that US employers added 528,000 positions, defying all expectations of a slowdown, official data released on Friday showed.
The broad-based S&P 500 dipped 0.2 per cent and the tech-rich Nasdaq Composite Index shed 0.5 per cent.
Non-farm payrolls jumped 528,000 in July, data from the Labour Department showed. Employment in the month before was revised up to a 398,000 gain. The unemployment rate dropped to 3.5 per cent, matching a five-decade low.
The blistering data suggests the economy may not be in a recession, as feared. But it also undercuts investors’ speculation that a slowing economy may mean a peak for inflation soon.
That means the Fed may not let up on its aggressive rate rises to combat inflation as early as hoped. And much of Wall Street still revolves around expectations for rates.
“It’s a reminder for investors on how uncertain Fed policy is going forward and the strong jobs market data shows just how far the Fed has to go,” said Charlie Ripley, senior investment strategist at Allianz Investment Management.
The Fed announced historic interest rate increases to cool the economy amid the highest rise in costs in more than 40 years.
Fed chairman Jerome Powell said another large increase could be appropriate as it looks to calm inflation, without driving the economy into a recession.
Mr Powell and the White House have pushed back against the notion that the US entered a “technical recession” after data in July showed gross domestic product had shrunk for a second consecutive quarter.
The White House has frequently pointed to other economic factors such as the labour market as to why the US is not in a recession. Treasury Secretary Janet Yellen said a true recession shows a “broad-based weakening of the economy”.
In Europe, London equities ended the day down 0.1 per cent one day after the Bank of England unveiled a half-point interest rate increase and forecast UK inflation topping 13 per cent on surging domestic energy bills.
The BoE's rate increase followed more aggressive monetary policy from the European Central Bank and the Fed as authorities address rampant inflation after Russia's invasion of Ukraine.
Frankfurt's DAX declined 0.7 per cent and Paris' CAC 40 slid 0.6 per cent at the close of trading.
Asian stock markets, which closed before the US jobs data was released, settled higher. Tokyo's Nikkei 225 rose 0.9 per cent, Hong Kong's Hang Seng climbed 0.1 per cent and the Shanghai Composite improved 1.2 per cent.
The five pillars of Islam
UAE currency: the story behind the money in your pockets
Final results:
Open men
Australia 94 (4) beat New Zealand 48 (0)
Plate men
England 85 (3) beat India 81 (1)
Open women
Australia 121 (4) beat South Africa 52 (0)
Under 22 men
Australia 68 (2) beat New Zealand 66 (2)
Under 22 women
Australia 92 (3) beat New Zealand 54 (1)
How to help
Call the hotline on 0502955999 or send "thenational" to the following numbers:
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Mohammed bin Zayed Majlis
BUNDESLIGA FIXTURES
Friday (UAE kick-off times)
Borussia Dortmund v Paderborn (11.30pm)
Saturday
Bayer Leverkusen v SC Freiburg (6.30pm)
Werder Bremen v Schalke (6.30pm)
Union Berlin v Borussia Monchengladbach (6.30pm)
Eintracht Frankfurt v Wolfsburg (6.30pm)
Fortuna Dusseldof v Bayern Munich (6.30pm)
RB Leipzig v Cologne (9.30pm)
Sunday
Augsburg v Hertha Berlin (6.30pm)
Hoffenheim v Mainz (9pm)
The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
- Torque: 760nm
- On sale: 2026
- Price: Not announced yet
Gertrude Bell's life in focus
A feature film
At one point, two feature films were in the works, but only German director Werner Herzog’s project starring Nicole Kidman would be made. While there were high hopes he would do a worthy job of directing the biopic, when Queen of the Desert arrived in 2015 it was a disappointment. Critics panned the film, in which Herzog largely glossed over Bell’s political work in favour of her ill-fated romances.
A documentary
A project that did do justice to Bell arrived the next year: Sabine Krayenbuhl and Zeva Oelbaum’s Letters from Baghdad: The Extraordinary Life and Times of Gertrude Bell. Drawing on more than 1,000 pieces of archival footage, 1,700 documents and 1,600 letters, the filmmakers painstakingly pieced together a compelling narrative that managed to convey both the depth of Bell’s experience and her tortured love life.
Books, letters and archives
Two biographies have been written about Bell, and both are worth reading: Georgina Howell’s 2006 book Queen of the Desert and Janet Wallach’s 1996 effort Desert Queen. Bell published several books documenting her travels and there are also several volumes of her letters, although they are hard to find in print. Original documents are housed at the Gertrude Bell Archive at the University of Newcastle, which has an online catalogue.
Killing of Qassem Suleimani
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EPL's youngest
- Ethan Nwaneri (Arsenal)
15 years, 181 days old
- Max Dowman (Arsenal)
15 years, 235 days old
- Jeremy Monga (Leicester)
15 years, 271 days old
- Harvey Elliott (Fulham)
16 years, 30 days old
- Matthew Briggs (Fulham)
16 years, 68 days old
UAE v Gibraltar
What: International friendly
When: 7pm kick off
Where: Rugby Park, Dubai Sports City
Admission: Free
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)
Killing of Qassem Suleimani
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I Care A Lot
Directed by: J Blakeson
Starring: Rosamund Pike, Peter Dinklage
3/5 stars
