Stock, Bond And Gold Futures Rise, Dollar Index Falls

The April Employment Report
came in below expectations

sending stock index, and bond futures sharply higher. Treasury Secretary John
Snow commented that the report was “good news“.

Treasuries ended the week on a strong note by recording a solid advance on
Friday. Today’s advance was fuelled by speculation the Fed will pause in its
current cycle of higher rates.

As of Thursday’s close the CBOT was reporting Fed Funds futures were pricing in
an 82% chance of 25 bp and 18% chance of 50 bp at next week’s meeting.

The US Dollar Index continued to decline, closing at its lowest level in a year.
The Dollar Index was weighed down by heavy losses against the Yen. The Dollar
hit a one-year low versus the Euro.

Read what Brett Steenbarger, Ph.D. had to say
about Interest Rates, the US Dollar and Oil


June Gold futures rose to a new contract high of $684.30. Read John Netto’s
take on Gold


Crude Oil futures closed flat, to end the week at
$70.01. Read Matt Odom’s in-depth analysis of Crude Oil


The Softs were mixed. Sugar +2.52% was the only notable riser and Lumber
-1.02% was the only notable faller.

All the grains closed higher, led by Wheat +2.56%.

Economic News

Non-Farm Payrolls Climb 138,000 In April, Unemployment Rate Stays At 4.7% (report)

For more reports and analysis go to our

Ashton Dorkins

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