Here are the most important news, trends and analyzes that investors need to start their trading day:
1. The Dow will return after a sudden sell-off on Thursday
Traders on the floor of the New York Stock Exchange.
Source: NYSE
Dow futures returned on Friday ahead of the government’s latest employment report and a sharp decline on Wall Street. Federal Reserve Chairman Jerome Powell failed to reassure investors on Thursday that the central bank will keep track of rising bond yields and inflation. The Dow closed 345 points, or 1.1%, lower on Thursday in a wild session that saw an average of 30 shares fall more than twice from the same stage. The S&P 500 was down 1.3%. The Nasdaq was the biggest loser of the day, falling by more than 2% and closing with almost 10% of its record high on February 12. The index was also negative for the year. At Thursday’s close, the Dow and S&P 500 held gains below 2021.
2. Employers probably added more jobs in February
The Department of Labor is due to issue its February employment report at 8:30 a.m. ET. Economists expect 210,000 non-farm payrolls to be added last month, up from just 49,000 in January. The national unemployment rate in February remains constant at 6.3%, although in the coming months it is likely that this level will decrease as more people are vaccinated against Covid-19 and jobs in the service sector return.
3. The 10-year treasury yield remains above 1.5% before employment and after Powell
Federal Reserve Chairman Jerome Powell speaks during a Senate Banking Committee hearing on Capitol Hill, Washington, December 1, 2020.
Al Drago | Swimming pool | Reuters
The 10-year yield of the Treasury increased on Friday, trading around 1.56%, pushing to a one-year high last week. Yields have risen rapidly since the end of January, fueling inflation fears. Powell has done little to alleviate these concerns, acknowledging that he sees some inflationary pressures ahead. However, he also said that the rise in prices will probably not be enough to stimulate the Fed to raise interest rates. The market had sought Powell to address more recently the recent rise in bond yields, with a possible nod to adjusting the Fed’s asset purchase program.
4. The Senate is approaching the Covid votes on the bills after the GOP delay
Members of the National Guard gather outside the US Capitol in Washington, DC, USA, on Thursday, March 4, 2021.
Stefani Reynolds | Bloomberg | Getty Images
The debate in the Senate on the $ 1.9 trillion coronavirus aid package for Democrats will continue as lawmakers try to exceed a deadline to prevent the expiration of federal unemployment benefits. The Senate voted on Thursday to begin the debate on the rescue package, setting the stage for its approval this weekend, according to rules that allow passage by a simple majority. Vice President Kamala Harris had to break the 50-50 tie after a party line vote in the uniformly divided chamber. As soon as the Senate began considering the bill, Sen. Ron Johnson, R-Wis., Forced the chamber clerks to start reading aloud the entire 628-page measure.
5. Connecticut among states facilitates some virus restrictions
Pharmacist Madeline Acquilano inoculates public school safety officer Victor Rodriguez with the Johnson & Johnson Covid-19 vaccine at Hartford Hospital in Hartford, Connecticut, on March 3, 2021.
Joseph Precious | AFP | Getty Images
Connecticut will relax many Covid mitigation restrictions in two weeks for business, theaters, churches and travel. But Democratic Gov. Ned Lamont said Thursday that the state-wide mask mandate will remain in place. Connecticut is among many states easing viral restrictions, despite repeated warnings from health officials that opening too quickly could risk another deadly wave in the U.S. This week, Republican governors in Mississippi and Texas took a step further. end of all Covid restrictions, including the mask mandate.
– The Associated Press contributed to this report. Follow all the developments on Wall Street in real time with CNBC Pro’s live marketing blog. Get the latest pandemic information with our coronavirus blog.