Dow dropped 127, decliners over advancers 5-2 & NAZ retreated 193. The MLP index was about even, near 231, & the REIT index sank 9+ to the 208s on thoughts about higher interest rates. Junk bond funds hardly budged & Treasuries were heavily sold, pushing yields higher. Oil sank 2+ to the 73s & gold plunged 52 to 1878 (more on both below).
AMJ (Alerian MLP Index tracking fund)
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Layoffs are mounting as concerns of a weakening economy grow.
Tech companies lead job cuts as economic uncertainty mounts
those with a credit score of 600 or below, according to TransUnion, in part because of the flood of younger borrowers gaining access to credit cards. But at the same time, delinquencies rose as lenders expand access to less-experienced credit users. TransUnion defines a delinquency as a payment that's 60 days or more overdue.
U.S. credit card debt jumps 18.5% and hits a record $930.6 billion
With United Parcel Service’s (UPS) labor negotiations approaching, CEO Carol Tomé sounded confident this week, saying that a “win-win-win” agreement would be reached before the end of Jul. But her optimism comes as the Teamsters union, which represents more than 340K UPS workers, amps up pressure on the delivery giant. “There have been a lot of articles and headlines that might cause someone to question whether or not a win-win-win is achievable,” Tomé said, acknowledging talk of tougher negotiations. The Teamsters publicly pledged to launch a strike if a satisfactory contract is not reached. “Whether there is a strike of UPS workers is up to UPS,” said a spokesperson for the Teamsters. The talks start in Apr, with the current national contract set to expire on Jul 31. Negotiations for local contracts begin this month. A strike could do substantial damage to UPS operations & create problems for businesses & consumers alike. In Q4-2022, UPS workers delivered a global average of 28M packages per day. Even with the rumblings about a potential strike, Tomé is maintaining a positive outlook given that unionized workers “have been a part of the UPS family for more than 100 years.” “This is not our first rodeo,” she added. But this year’s talks will be different. The stock rose 25¢.
If you would like to learn more about UPS, click on this link:
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Gold futures settled at their lowest in more than 3 weeks, down 2.7% from last Fri's finish. Gold took a hit because the positive surprise on the jobs number is a strong indication that the Federal Reserve has more than a single rate hike left in it. Gold was hit harder than equities because it's been outperforming stocks over the last few months. Profits are being taken by those who have enjoyed that ride. Gold for Apr fell $54 (2.8%) to settle at $1876 an ounce.
Gold Falls Below $1,900 After US Jobs Data Smashes Forecasts
Oil Ends Sharply Lower Despite US Jobs Report
Investors will have a lot to think about over the weekend after today;s report on jobs. For the week, Dow finished down 50.
Dow Jones Industrials
