Ahead of Jobs Data, Stocks Rise & the Dollar Falls – Europe Market Wrap

Stock futures rose modestly, while the dollar plummeted to its lowest level this month, as traders speculated if Wednesday’s US jobs report will force the Fed to lower interest rates more quickly.

S&P 500 contracts rose 0.1%. For the fourth day in a row, the Dollar fell against all of its main counterparts. Ten-year Treasury yields remained at their lowest level in roughly a month as money markets increased the likelihood of an April rate cut. Fears about AI disruption knocked on European markets.

Gold surpassed $5,100 per ounce. Bitcoin fell below $67,000, underlining investors’ scepticism about a long-term rebound after last week’s brief respite.

Wealth managers in Europe tracked their US counterparts down as concerns about the disruptive impact of a new AI tool aimed to generate tax plans spurred a sector-wide selloff. St James’s Place fell 12% in London, as did investment platforms AJ Bell and IntegraFin.

January’s payrolls report is due after US government officials, including National Economic Council Director Hassett, recently warned that investors should expect lower jobs numbers going forward. Analysts are also anticipating an annual revision to the jobs count, which is expected to reveal a markdown in the year through March 2025.