Global Stocks Tepid Before US Jobs Test; Dollar Stands Tall
LONDON, TOKYO—Global equities were set to end the first week of 2023 on a tepid note and the dollar stood tall as fears of higher U.S. interest rates hit market sentiment.
The MSCI World equity index traded steadily on Friday, on course for its fifth consecutive weekly drop despite a brief rally earlier in the week.
The dollar also touched a one-month high against major currencies on Friday as investors braced for the crucial U.S. non-farm payrolls report later in the day.
The official jobs report comes after private payrolls data on Thursday showed a bigger than expected rise in employment and a drop in jobless claims, underscoring the Fed’s determination to prevent a doom loop of rising wages and prices that would embed high inflation in the world’s dominant economy for longer….