Xinhua News Agency, New York, September 3 Summary: U.S. non-agricultural employment data is less than expected, dragging down U.S. stocks as a whole
Xinhua News Agency reporter Liu Yanan
As the employment data of the US non-agricultural sector fell sharply below expectations and investors chose to avoid risks or take profits before the arrival of the long weekend holiday, the US stock market weakened as a whole on the 3rd. The Dow Jones Industrial Average and the Standard & Poor’s 500 stock indexes were both Closed down.
Affected by the less-than-expected negative impact of the August non-agricultural employment data released before the market, the three major stock indexes of the New York stock market opened lower on the 3rd, and then the trend diverged. As of the close of the day, the Dow fell 74.73 points to close at 35369.09 points, a decrease of 0.21%; the S&P 500 index fell 1.52 points to close at 4535.43 points, a decrease of 0.03%; the Nasdaq Composite Index rose 32.34 points to close at 15363.52 points, an increase of 0.21%.
Data released by the U.S. Department of Labor that day showed that the number of new jobs in the non-agricultural sector in the United States was 235,000 in August, far less than market expectations. Analysts said that compared with the growth rates in July and June, the non-agricultural employment data in August was disappointing, and the market’s confidence in US employment growth was frustrated.
US economists Michel Meyer and Joseph Song of Bank of America’s Global Research Department said that the August non-agricultural employment data showed that the US economy “slowed down” that month. The recent sharp increase in the number of people infected with the new crown virus has slowed employment growth.
Although the non-agricultural employment data was significantly lower than expected, the market believed that the Fed might not be eager to reduce the scale of bond purchases, and the ultra-loose monetary policy would continue to support the risky asset market. The stock market did not fluctuate sharply that day.
Chris Zacarelli, chief investment officer of the American Independent Consulting Alliance, said that many people believe that the Fed will announce its decision to reduce the scale of debt purchases at the interest rate meeting in September, but because the non-agricultural employment data was unexpectedly lower than expected, ” This will most likely not happen.”
In addition, the final data released by the market information service agency Eschen Huamai on the same day showed that the United States’ August Comprehensive Purchasing Managers’ Index (PMI) was 55.4, which was consistent with the previously announced initial value and was lower than July’s 59.9. The output growth rate dropped to the lowest level this year.
Chris Williamson, chief business economist at Esson Huamai, said that the growth of the service industry in the United States slowed down sharply in August, and demand for both the service industry and the manufacturing industry has slowed significantly, and recruitment and supply difficulties have been encountered, which has brought economic recovery. Come the “brake” effect.
September 6 is the traditional Labor Day holiday in the United States, and the U.S. stock market will be closed for one day.