Macro Roundup (Feb 7)

SHANGHAI, Feb 7 —This is a roundup of global macroeconomic news last night and what is expected today.

The dollar jumped to a four-week high against the euro on Monday, as last week’s blockbuster U.S. jobs report raised the likelihood of the U.S. Federal Reserve keeping on with its inflation-fighting interest rate hikes for longer.

The euro slipped 0.6% against the dollar to $1.0724, its lowest since Jan. 9, following a 1% drop on Friday. The euro remains not far from the 10-month high of $1.1034 hit last week.

On Monday, U.S. Treasury Secretary Janet Yellen said she saw a path for avoiding a U.S. recession, with inflation coming down significantly and the economy remaining strong, given the strength of the U.S. labor market.

Stock futures rose slightly in overnight trading as investors braced for the latest commentary due Tuesday from Federal Reserve Chairman Jerome Powell.

Futures tied to the S&P 500 added 0.13%, while futures connected to the Dow Jones Industrial Average inched 20 points, or 0.07% higher. Nasdaq-100 futures rose 0.13%.

Monday’s overnight moves followed another down session for markets as bond yields rose and pressured growth stocks. The Dow Jones Industrial Average dipped 34.99 points, or 0.1%, falling for its third consecutive session. The S&P 500 slid 0.61%, while the Nasdaq Composite dropped 1%.

Nine of the 11 major S&P sectors finished lower, led to the downside by communication services. The utilities sector was the best-performing area, gaining 0.87%.

Oil prices edged higher in choppy trading on Monday as markets weighed a return in demand from China against supply concerns and fears of slower growth in major economies curbing consumption.

Brent futures for April delivery rose $1.05, or 1.3%, to $80.99 a barrel, after trading between $79.10 and $81.25.

West Texas Intermediate crude (WTI) gained 72 cents, or 1%, to $74.11 per barrel, after hitting a high of $74.41 and a low of $72.25.

Gold edged higher on Monday, with investors banking on the precious metal’s safe-haven appeal as concerns about an economic slowdown linger, after a stronger dollar and higher Treasury yields nudged prices to a one-month low.

Spot gold was up 0.2% to $1,868.96 per ounce by 2:37 p.m. ET (1937 GMT). Earlier in the session, prices slipped to $1,860, their lowest since Jan. 6.

U.S. gold futures settled 0.2% higher at $1,879.50.

European markets started the new trading week on a negative note as investors assessed the latest economic data and interest rate outlook.

The pan-European Stoxx 600 index provisionally closed 0.8% lower, with all sectors bar healthcare and utilities trading in the red. Retail led losses, down 2.1%.