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US stocks boosted by better-than-expected jobs data

Published: 00:33 08 Jul 2016 AEST

US shares

US stocks have opened firmer, as private sector payrolls data pointed to a more resilient labour market than expected.

Payrolls processing firm ADP revealed private sector payrolls hired 172,000 workers in June, comfortably ahead of expectations of a 159,000 gain, and a tad better than the 168,000 increase in May.

The Dow Jones was up 48 points (0.3%) at 17,966 after around 45 minutes of trading, while the broader-based S&P 500 was six points (0.3%) to the good at 2,106.

Looking at the mid-caps, the S&P 400 index suggested they were up 0.6% on average, with the index nine points firmer at 1,499.

The Russell 2,000 index, which tracks small-caps, trumped the lot, up nine points (0.8%) at 1,156.

On the NYSE, Dutch cyber-security specialist AVG Technologies NV (NYSE:.VG) shot up 31% to US$24.65 after rival Avast Software BV (NASDAQ:AVST) launched an agreed bid worth US$25 a share.

The companies provide two of the best known and most popular free anti-virus computer programs.

On Nasdaq, the top riser was SemiLEDs Corporation (NASDAQ:LEDS), the developer and manufacturer of  light emitting diodes (LED) chips and components.

The shares soared 144% to US$7.92, after Dr Peter Chiou subscribed for 577,000 shares at five bucks a pop, giving him a stake of around 19.6% in the company.


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Wall Street shares are seen opening a tad lower on Thursday as London shares rise and as investors still fret over the global economy following the Brexit vote.

US shares closed to the good yesterday, largely thanks to buoyant US data.

The S&P 500 index closed up 0.5%, or 11 points at 2,099.

The Dow Jones finished 78 points up, or 0.44% to 17,918, while the Nasdaq exchange added 0.75%, or 36 points, to 4,859.

Meanwhile, the S&P Midcap 400 was up 0.5% at 1,490, while the S&P Smallcap 600 gained 0.6% to 704 and the wider small-cap Russell 2000 was up 0.7% at 1,147.

Today, stock futures across the pond are seen, with the Dow down 14 points; the S&P500 down 2.25 and the Nasdaq futures losing 3.25.

In Asia overnight, both the Japanese and Chinese stock exchanges finished in the red.

US crude is currently 0.99% higher, at US$47.90 a barrel.

It comes as the government is about to release the latest crude oil inventory data this morning, in other words stockpile data, which casts a light on levels of demand.

In the UK, a total of seven commercial property funds have now halted trading on fears of not being able to liquidate assets quick enough as so many investors want to remove cash on property market fears.

In terms of results, NYSE:.EP) is the main firm reporting ahead of the earnings bell. There is also employment data, including the latest weekly data on unemployment claims.

 

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