Statistics on unemployment, which is one of the key factors to assess the prospects of a rate increase by the fed in 2015, has strengthened fears of a base rate increase by the fed in December.
MOSCOW, 7 Nov. U.S. stock indexes on Friday showed no single dynamics on the background of strong statistics on a labour market, which, however, reinforced fears of a base rate increase by the fed in December, according to data exchanges.
Industrial index Dow Jones rose by 0.26% to 17910,33 item. High-tech NASDAQ rose 0.38% to 5147,12 item. The index of wide market S&P 500 fell by 0.03% to 2099,20 item.
On Friday it became known that unemployment rate in the U.S. in October was 5%, while the number of jobs in non-agricultural industries increased by 271 thousand. Analysts had expected the unemployment rate to reach 5.1%, and the number of jobs will grow by 184 thousand.
According to experts, this will be an additional incentive for the fed to raise rates in December, as unemployment is one of the key factors to assess the prospects of a rate increase by the fed in 2015.
“The market reacts today as if rates increase in December,” said Reuters senior investicinis Tradition Capital Management Ben Haliburton (Ben Halliburton).