Global Stocks Rally Ahead of Key US Jobs Data; Chinese Selloff Eases

Asian and European markets advanced on Friday, mirroring a global equity rally ahead of the release of US employment data expected to guide the Federal Reserve’s next interest rate decision.

Chinese stocks, which had been hit by a sharp selloff earlier in the week, steadied following reports of potential regulatory intervention to curb market volatility. The CSI 300 index rebounded after suffering its steepest fall since April.

London, Paris, and Frankfurt opened higher, while Tokyo, Hong Kong, and Shanghai also recorded gains. Analysts said investors are now focused on the US nonfarm payrolls report, with weaker jobs data likely to strengthen expectations of Fed rate cuts.

Weekly figures had already shown an increase in US unemployment claims, while private-sector hiring slowed in August, reinforcing views of a cooling labor market.

In commodities, gold held near record highs as investors sought safety amid uncertainty, while oil prices extended losses on concerns of oversupply, despite geopolitical risks linked to the Russia-Ukraine conflict.

Bond markets also eased after yields spiked earlier in the week on worries over rising government debt. Japanese government bond yields edged lower, and US Treasury markets steadied.

Key Market Figures (Friday):

Tokyo (Nikkei 225): +1.0% at 43,018.75

Hong Kong (Hang Seng): +1.54% at 25,445.60

Shanghai Composite: +1.24% at 3,812.51

London (FTSE 100): +0.3% at 9,240.84

Paris (CAC 40): +0.3% at 7,723.97

Frankfurt (DAX): +0.7% at 23,843.24

Euro/Dollar: $1.1673 (up)

Brent Crude: $66.72 (down 0.4%)

WTI: $63.15 (down 0.5%)

Gold: near record highs