Tensions in the Middle East keep investors on their toes. Iran launched a missile attack on Israel yesterday and Israel vowed to retaliate.
The price of crude oil continued to rise on Wednesday. Brent benchmark oil had risen 2.9 percent to $75.7 a barrel. However, the VIX index, which measures volatility, was only 0.8 percent up after yesterday’s peak.
The general index S&P 500 was down 0.1 percent about an hour after the start of trading, as was the technology-focused Nasdaq Composite. The Dow Jones was down 0.1 percent.
New data was received from the US labor market today. The numbers were stronger than expected.
According to the report, 143,000 new private jobs were created in September, while the consensus of economist forecasts collected by the news agency Bloomberg expected 125,000 new jobs. Based on revised figures, 103,000 jobs were created in August.
The release caused a spike in US interest rates. Even before the publication, the interest rate on the ten-year loan was 3.756 percent, but after the publication it was 3.799 percent. Stock futures did not react clearly to the report.
“Today’s employment numbers surprised positively, suggesting the labor market is bending but not breaking,” Morgan Stanley Chris Larkin commented to the news agency Bloomberg.
“Friday’s monthly employment report will provide a definitive picture of the current employment situation and likely short-term market sentiment as well.”
Electric car company Tesla’s car deliveries in the third half of the year fell short of analysts’ expectations, which weighed on the share price. The company delivered 462,890 vehicles in the third quarter, while analysts were expecting 463,897 cars. Tesla’s stock opened 5.1 percent lower at $245.
Sportswear company Nike’s stock opened with a 7.9 percent drop, when the company withdrew its sales guidance it had previously issued. The company justified its decision with a change in management personnel.
The company said in September that the company’s CEO in previous years Elliott Hill will return to duty from October 10, 2024.