Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Payrolls, Bitcoin $40k, Hyundai's Apple Gaffe - What's up in Markets

EconomyJan 08, 2021 06:50AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters

By Geoffrey Smith 

Investiing.com -- Donald Trump disavows his supporters’ violence as Democrats call for his immediate removal from power. Nonfarm payrolls are set for their worst number since May, Hyundai gets ahead of itself in announcing talks with Apple over car manufacturing, and (Bitcoin) hits $40k, less than a month after hitting $20k. Here’s what you need to know in financial markets on Friday, January 8th.

1. Trump changes tack; Dems press for removal

President Donald Trump turned on his supporters, disavowing the lawlessness and violence of Wednesday’s storming of the Capitol, which followed directly from a rally that he addressed earlier in the day. Five people, including one police officer, died during the riot.

Democratic Party politicians including the new Senate Majority Leader Chuck Schumer and House Speaker Nancy Pelosi both called for Trump’s immediate removal, threatening new impeachment proceedings if Vice-President Mike Pence doesn’t invoke the 25th Amendment to strip Trump of his office.

The threat seems largely empty. Pence was reported by various outlets as being opposed to using the 25th Amendment, while impeachment would still need the support of 16 Republican Senators.

2. Bitcoin hits $40k, Copper hits 8Y high

The broad global rally in risk assets continued, with European and Asian stocks both following the U.S. higher and copper posting a new eight-year high.

However, the dollar corrected upwards modestly and Treasury bond yields rose to their highest in 11 months after Philadelphia Fed President Patrick Harker said the Federal Reserve may look at tapering its bond purchases toward the end of this year. His comments were contradicted later by Cleveland Fed President Loretta Mester. Neither is a voting member of the Federal Open Markets Committee this year, however.

The dollar index rose 0.1% to 89.88 by 6:30 AM ET (1130 GMT), while the 10-year Treasury yield was at 1.08%, having earlier risen as high as 1.10%. Bitcoin, meanwhile, topped $40,000 for the first time ever, less than a month after hitting $20,000 for the first time.

3 Stocks set to open higher; stimulus hopes sustained 

U.S. stocks are set to open higher, still supported by expectations of greater government spending and continued accommodation from the Fed.

By 6:30 AM ET, Dow Jones futures were up 97 points, or 0.3%, while S&P 500 futures were up 0.4% and Nasdaq Composite futures were up 0.5%.

Among the stocks likely to be in focus later are Boeing (NYSE:BA), which said it would take a $2.5 billion charge against earnings to settle allegations of misleading U.S. authorities over its 737 MAX program, and Apple (NASDAQ:AAPL), which was the subject of a bizarre series of press releases from South Korean carmaker Hyundai (OTC:HYMLY) overnight, Hyundai stock rose 19% in Seoul after the company said it was in early stage talks about possibly manufacturing a car for Apple. However, it revised its statement twice, ultimately removing the iPhone maker from the release entirely.

4. Payrolls set for smallest gain since May - or worse

The U.S. labor market probably had its weakest month since the spring disaster in December. Nonfarm payrolls are expected to have risen by only 71,000 through the middle of last month, as spreading restrictions on the services sector due to the pandemic hit hiring virtually everywhere.

The risk is for a downside surprise, given that payrolls processor ADP estimated that private employment shrank by 123,000 in the period. The unemployment rate is expected to have risen to 6.8% of the workforce, from 6.7%. The government will release the numbers at 8:30 AM ET as usual.  

Data overnight had shown German industrial production, exports and imports all exceeding expectations - albeit only for November, before the latest surge in the Covid-19 pandemic. Both Germany and the U.S. posted record numbers of deaths from the disease on Thursday.

5 Oil surges again on spot buying; LNG at record high

Crude oil prices surged higher again, hitting their highest levels since mid-February on confidence that Saudi Arabia’s unilateral action to balance the market will keep prices supported until the worst of the seasonal impact from the pandemic is past.

By 6:40 AM ET, U.S. crude prices were up 1.3% at $51.52 a barrel, while Brent futures were up 1.5% at $55.20 a barrel.

Prices were supported by reports of heavy buying in the spot market by Unipec, while a cold snap in Asia has also lifted liquefied natural gas prices to a record high.

Payrolls, Bitcoin $40k, Hyundai's Apple Gaffe - What's up in Markets
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (15)
기훈 김
기훈 김 Jan 09, 2021 1:56AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
SEX
준호 조
준호 조 Jan 08, 2021 6:20PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
현대차! 현대차!
Giang Cao Thi Hà
Giang Cao Thi Hà Jan 08, 2021 8:52AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Dietmar Stahl
Dietmar Stahl Jan 08, 2021 8:51AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
For $1000 you only get 0.024 Bitcoin hahah
Djodmy Champagne
Djodmy Champagne Jan 08, 2021 8:49AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
good
Dietmar Stahl
Dietmar Stahl Jan 08, 2021 8:48AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Bitcoin lottery pot above 41000.Everyone paying into the pot. Some get other will not.
Dietmar Stahl
Dietmar Stahl Jan 08, 2021 8:47AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Later only few big companies buy everything
justin namon
justin namon Jan 08, 2021 8:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I love how the stock market is basically a futurist. The market guesses whats ahead, bet on hypothesis, hopes it comes true.
Pete Lorenzo
Pete Lorenzo Jan 08, 2021 8:00AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
oil up gas up less money in your pocket get new stimuli be good for 6 months then crash
Lake Lot
Lake Lot Jan 08, 2021 8:00AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yes petere
Matt Georgopulos
opulo01 Jan 08, 2021 8:00AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Gas up means nothing for our pockets if we're stuck at home not driving.
Norb Holly
Norb Holly Jan 08, 2021 7:29AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
🤑💯
RaJa Kayani
RaJa Kayani Jan 08, 2021 7:28AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
👍🏻
Mike Chen
Mike Chen Jan 08, 2021 7:26AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Hot money from Fed unlimited QE has damaged the world market.
Edison J Abahurire
Edison J Abahurire Jan 08, 2021 7:20AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
And Hyundai?
Ridha B younes
Ridha B younes Jan 08, 2021 7:17AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
you can't resist us Mr Powell's
Leo Philip
Leo Philip Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
All set for a massive market crash next week.
Michael Perry
Michael Perry Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
...and short TSLA too! right?
Michael Crowley
Michael Crowley Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Michael Perry nah everyting goes parabolic forever
Kantor Martin
Kantor Martin Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
BTC will go straight to 100K don’t worry mr.Bear
Jaden Spoke
Jaden Spoke Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
😭😭😭🤣🤣🤣🤣
Dat Do
Dat Do Jan 08, 2021 7:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Forget about crashing. The last time we had a market correction in last Sept the rsi on 4h chart of all the indices were 90+. Currently they are sitting below 70. I said we are no where near being overbought yet.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email