Futures on the Dow Jones Industrial Average contracts fell 49 points, or 0.3 percent, to 17,794 today. The Nasdaq composite fell 51.82 points, or 1%, to 5,095.30.
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Major indices declined in midday trading on expectations of a rate hike in December by the U.S. Federal Reserve and concerns about economic growth, with nine of 10 S&P sectors trending lower.
The Labour Department said United States employers created 271,000 jobs last month, more than the even most bullish of forecasts. The unemployment rate dropped to 5 percent, the lowest in seven years.
USA companies face the prospect of higher borrowing costs if the Federal Reserve raises interest rates next month, as is widely expected after Friday’s strong jobs report. Even in a declining stock market, investors also sold government bonds. The yield on the 10-year U.S. Treasury note was at 2.37 percent versus 2.33 percent on Friday and significantly higher than the 2.23 percent yield on Thursday. Yields on other Treasuries, including the two-year and three-year notes, also rose.
Germany’s DAX index fell 1.6 percent, France’s CAC-40 index lost 1.5 percent, and the U.K.’s FTSE 100 lost 1 percent.
“We believe such adjustments reflect a more subdued launch around the iPhone 6s/6s Plus in terms of uptake”, Credit Suisse said in a report, adding that its team in Asia says Apple has “lowered its component orders by as much as 10 per cent”.USA stocks opened lower Monday after notching a sixth straight week of gains, with online travel giant Priceline sinking after issuing an unexpected warning on fourth quarter earnings. Benchmark United States oil sank 3% to close just under $43 a barrel. Macy’s plunged after releasing weak results and oil and gas companies fell along with the price of crude.
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The Dow is down 92.59 points, or 0.5 per cent.
