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The S&P 500 closes its best bullish streak in 10 months after good employment data

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Wall street has been dyed green (Dow Jones: + 0.44%; S&P 500: + 0.75%; Nasdaq: + 0.81%), with the Nasdaq and the S&P 500 setting new all-time highs after those achieved in this Thursday's session. Both indices are up 2% this week. The S&P has closed its best bullish streak in 10 months after recording seven consecutive days of increases. In addition, the Dow Jones has also risen 1.02% in the last five days. This happens after the June employment data in the US, which have exceeded the forecasts by showing the creation of 850,000 jobs last month.

For its part, unemployment rate of the world's largest economy rises slightly from 5.8% to 5.9%, above the estimated 5.7%. But this is largely due to a greater incorporation of the population into the active job search, which is positive.

Regarding the wages, a variable that is currently widely followed to see if there are inflationary pressures in the labor market that may affect long-term inflation expectations, they have revalued by 0.3% in June compared to the previous month and 3.6% year-on-year, in line with expectations.

Activity data, such as PMI and ISM manufacturing published this Thursday, confirmed that the economy continues to recover strongly due to the reopening after the pandemic. In addition, initial unemployment claims they fell below 400,000 and confirmed their downward trend.

OECD AGREEMENT ON TAXES

On the geopolitical scene, the OECD announced the agreement of 130 countries to impose a Global Corporation Tax of 15%. This measure is intended to end the downward tax war to retain large companies.

In addition, the International Monetary Fund (IMF) has been optimistic about the economic recovery of USA, by raising its growth forecast for 2021 to 7%, from the 6.4% estimated in April.

It is the largest annual expansion rate since 1984, boosted by "unprecedented fiscal and monetary support" and the reduction in Covid-19 cases thanks to vaccination.

The organism also downplayed recent price hikes, which it called "transitory", thus supporting the thesis defended by the Federal Reserve (Fed).

COMPANIES AND OTHER MARKETS

At the business level, Richard Branson has advanced to Jeff bezos, owner of Amazon, and has communicated that will travel to space on July 11. A successful flight by the billionaire aboard the VSS Unity space plane that would mark a key milestone in the race to usher in a new era of private commercial space travel. Thus, Virgin Galactic, which has risen by 20% in the early hours, has risen by 4%.

In addition, Didi, what debuted on Wall Street this Wednesday, has registered a sharp decrease of 5% after what China has announced that it will perform a review of your cybersecurity. During the investigation, new users will not be able to register in your transportation service. "We plan to carry out a thorough examination cybersecurity risks and continually improve our cybersecurity systems and technological capabilities, "said its spokesperson according to CNBC.

What's more, Broadcom has been accused of illegally monopolize the semiconductor components market. The US Federal Trade Commission has unanimously voted to bring charges against the company.

On the other hand, a cargo plane of Boeing has crashed into the sea in Hawaii. The first information published by CNBC points to an engine failure, although the seriousness of the event is unknown. The aircraft manufacturer has fallen 1% on the Nasdaq.

In other markets, oil West texas It rises by 0.20%, to $ 75.38, after OPEC + delayed its decision on an increase in production for the next few months to this Friday. Most countries support a monthly increase of 400,000 barrels per day until the end of the year, but United Arab Emirates press for that number to be higher.

In addition, the euro depreciates 0.16% and changes to $ 1.1867, the ounce of gold rises 0.79%, to $ 1,791, while the profitability of the 10-year American bond relaxes to 1,431%. Finally, the bitcoin it rises 0.43% to $ 33,153.

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