The US economy added 217,000 jobs in May, just 1,000 less than the consensus expectation, while the April number was revised down slightly to 282,000, from its the very strong original print of 288,000.
Both the DJIA and the S&P 500 pushed up to fresh record highs on Thursday, closing at 16,836.11 and 1,940.46 respectively, in the wake of the raft of policy easing measures announced by the
While the US markets has already been pointing to a marginally higher open Friday, the strong employment report has boosted futures markets further.
The DJIA and the S&P 500 now both look set to open 0.2% higher at fresh record highs, while the Nasdaq Composite is set to open 0.3% higher.
The headline rate of US unemployment remained stable at 6.3% over the month, beating economists' expectations for it to tick up to 6.4%, although since the Federal Reserve dropped its unemployment target as a single policy, the rate has lost a degree of importance.
"Following the Fed's decision to look at a broader range of data as part of their revised forward guidance, other aspects of the jobs report have become increasingly important, while the unemployment rate has become less so," said
The latest figures showed that the participation rate has fallen by 0.6% over the last year, although it was unchanged in the May alone, at 62.8%.
Gold continued to be volatile Friday, rising ahead of the US jobs data, before falling immediately after to a session low of
The currency markets also came alive on the release of the data, following a subdued morning. Both the pound and the euro have made session highs and lows against the dollar since the jobs report was released, but have returned to near flat. Ahead of the US market open, the pound trades at
Earlier Friday, the
The IMF warned, however, that the government needs to keep a close check on the housing market, saying that the increasing size of new mortgages "suggests that household are gradually becoming more vulnerable to income and interest rate shocks".
"The advice is coming from an institution that is no longer high up Chancellor Osborne’s Christmas card list after last year’s austerity spat," said Berenberg chief
There are no key data or corporate earnings left in the calendar Friday, with just the change in US consumer credit to come after the European market close at
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