© Reuters.
Written by Liz Muir
Investing.com – Stocks fell on Thursday, ahead of a key jobs report that could influence the Federal Reserve’s interest rate decision.
Analysts expect the economy added 205,000 jobs last month, down from January’s reading of 517,000. Friday’s jobs report and next week’s inflation data come just before the Fed’s meeting this month.
Until this week, the market was convinced that the Fed would raise interest rates by another quarter of a percentage point, as it did in February. But Federal Reserve Chairman Jerome Powell told Congress this week that the central bank is ready to accelerate interest rate hikes to fight persistent inflation.
The strength of the labor market and other stronger-than-expected economic data recently may encourage the Fed to raise rates higher and maintain higher rates for a longer period.
Futures traders are increasingly betting that the March interest rate decision will be a half percentage point hike.
Investors will also get a fresh set of expectations from the Fed policymakers at the end of the meeting, when they release a dot plot including projections for future inflation, unemployment and GDP.
Here are three things that could affect the markets tomorrow:
1. Jobs report
A report for February is due at 8:30 ET (13:30 GMT). Analysts expect the number to be less than half of what it was for January, and they are also watching revisions to the previous report. The unemployment rate is expected to remain at 3.4%.
2. Apple meeting
Apple (NASDAQ:) holds its annual shareholder meeting beginning at 12:00 ET (or 9 am PT). The meeting will be virtual, and shareholders will vote on a number of proposals, including exposure to China and a report on gender pay gaps.
3. Treasury balance
The Treasury’s monthly budget is released at 14:00 ET and analysts expect it to drop by $256 billion.
Monitor the markets today
It ended Thursday’s trading session with strong losses, recording 542 points, with a decline of 1.65%, while recording a decline of 1.81% and a decline of 2.05%.
It rose strongly in spot transactions, to record in the informal session at 9:06 GMT, $1,831 an ounce, an increase of 0.92%, while it recorded $1,835 an ounce, an increase of 0.92%.
Today, however, it declined somewhat after an unexpected rise in the unemployment benefits data, to record 105.257, with a decrease of 0.36%.
