[Market Morning] The US Non-Farm Payrolls Data in June Unexpectedly "Bursted the Table", the Fed Raised Interest Rates by 75 Basis Points in July, and the US Bond Yields Soared!

On Friday, spot gold fluctuated sharply, reaching the daily high of 1752.35 and then falling back, finally closing up 0.13% at $1741.82 per ounce; spot silver closed up 0.56% at $19.3 per ounce.

Comment: The spot gold price fell by nearly 4%, hitting a new low of $1,732.17 per ounce during the session in early September 2021. Not only did gold fall for a fourth straight week, but it was also on track for its biggest weekly drop since the week of June 18, 2021. The U.S. nonfarm payrolls data was much better than expected, strengthening the Fed's determination to continue raising interest rates by 75 basis points in July.

Suggestion: short Spot gold at 1740.90; the target point is 1733.70

The U.S. dollar index weakened after rising to a daily high of 107.81, fell to the 107 mark, and finally closed down 0.168% at 106.91; the 10-year U.S. bond yield soared in the short-term in the U.S. market, once rose to 3.101%, and finally closed at 3.082%.

Comment: The U.S. dollar index rose sharply in the week of July 8, hitting a new high in 20 years. The Federal Reserve is expected to continue to raise interest rates by 75 basis points in July. Warming up, these factors boosted safe-haven demand for the dollar.

Suggestion: short EUR/USD at 1.01630, target point 1.00880

In terms of crude oil, the two crude oils continued their rebounding trend. WTI crude oil rose above US$105 and finally closed up 1.95% at US$105.8 per barrel. Brent crude oil closed up 2.67% at US$109.34 per barrel.

Comment: This week, international oil prices hit a new low since mid-April, as investors were increasingly worried about the prospect of a global economic recession and suppressed fuel demand. Limit the decline in oil prices.

Suggestion: long U.S. crude oil at 102.400, and the target point is 104.540

The three major U.S. stock indexes fluctuated widely throughout the day. The S&P 500 closed down 0.08%, the Dow closed down 0.15%, and the Nasdaq edged up 0.12%. Oil and gas drilling, automakers, and other sectors were among the top gainers, and Tesla rose more than 2.5%, Faraday Future closed down slightly.

Comment: U.S. stocks turned down intraday, the Dow closed flat, Meta fell more than 5% to hit a new low in a year and a half, the market value shrunk by one-third in three days, and its sector fell more than 2% to lead the decline in S&P; Peloton rose more than 20%; Ali fell more than 6%.

Suggestion: go short at 12081.700 of the Nasdaq index, target point at 11802.200

Fed's Bostic: Supports a 75bps rate hike in July.

Bostic, the president of the Atlanta Fed on the 2024 FOMC vote, said he supports the Fed raising interest rates by a second straight 75 basis points later this month, arguing that it won't do much lasting damage to the broader U.S. economy.

The labor market is strong! U.S. nonfarm payrolls beat expectations in June

The U.S. nonfarm payrolls rose by 372,000 in June seasonally adjusted, the smallest gain since April 2021 and well ahead of expectations for a gain of 268,000. The Fed's swap rates showed an increased likelihood of a 75 basis point rate hike from the Fed after the June nonfarm payrolls report. Biden said the U.S. private sector has recovered all the jobs lost during the pandemic, but he expects job growth to slow in the coming months as the country transitions to "steady growth."

U.S. media: Biden meets with advisers on July 8 to discuss reducing tariffs on China

On July 8, according to people familiar with the matter, U.S. President Biden met with his advisers on Friday to discuss a possible reduction in tariffs on Chinese goods.