- Financial markets remained volatile, with stocks falling as the latest US jobs data reinforced predictions that the Federal Reserve will keep hiking rates to tackle stubbornly high inflation.
- The S&P 500 failed to stay in the green at the end of a week defined by erratic trading, fast reversals, and elevated anxiety, and plummeted to its lowest level in over a year. The index fell for the sixth week in a row, the longest losing sequence since June 2011. The Nasdaq 100, a tech-heavy index, underperformed. While the dollar gained, 10-year Treasury yields stayed above 3%. The price of gasoline futures in New York hit a new high.
- The long-awaited jobs data indicated that hiring in the United States increased at a rapid rate in April, but a shrinking labour force may put additional pressure on employers to raise wages even higher to entice workers back. As central bankers seek to bring labour demand in line with supply, this dynamic will certainly hinder the Fed's fight to bring decades-high inflation under control.
