"Hard Landing" returns to headlines

Labor market

The non-farm employment change added just 114K jobs compared to the expected 176K, while unemployment rose to 4.3%, raising further concerns among investors. In response, gold prices surged to $2,477 due to a sharp market reaction.

Earnings

The Nasdaq took a large hit overnight falling 2.3%, weighed on by mixed earnings from mega caps. While The S&P 500 declined by 1.4%, and the Dow Jones Industrial Average dropped nearly 500 points, or 1.2%.

Amazon stock fell 8% in pre-market after reporting second-quarter earnings that exceeded analyst expectations, but weaker-than-expected guidance for the third quarter.

Apple also announced its earnings surpassing Wall Street estimates, with an increase in services revenue compensating for lower iPhone sales amid growing competition in China.

Intel's stock plummeted 19% as its third-quarter revenue forecast fell short, and the company suspended its dividend while also announcing plans to cut 15% of its workforce.

In currencies

the USD/JPY decreased by 0.3% to 148.84, as the yen continued to strengthen following the Bank of Japan's 15 basis point interest rate hike and indications of additional potential hikes in 2024, attributed to some positive trends in the Japanese economy.

Data released on Thursday revealed that eurozone manufacturing sector activity remained in contraction territory in July, indicating that the European Central Bank may need to cut interest rates again this year to stimulate a slowing economy. The euro was last seen hovering near 1.0832.