US investors wait for Friday's jobs report: Cannabis stocks the highlight

US investors wait for Friday’s jobs report: Cannabis stocks the highlight

US stocks fell Thursday, as traders weighed sharp swings in stocks and rates to start the month.

Investors are anxiously awaiting the Friday jobs report, which will show how the labour market fared in September, giving central banks another piece of information about its rate hike campaign.

The benchmark 10-year rate climbed to 3.82 per cent – as a reverse market indicator – as the 10-year yield rises markets invariably fall at the moment.

The Dow Jones Industrial Average fell 346.93 points, or 1.2 per cent, to 29,926.94. The S&P 500 fell 1 per cent to 3,744.52, while the Nasdaq Composite dropped 0.7 per cent to 11,073.31. All of the major averages are on pace to end the week more than 4 per cent higher for their best week since June 24.

Energy was the best-performing sector, gaining 1.8 per cent. The switch out of the defensive utility sector continued with the sector falling over 3 per cent. The real estate sector struggled as US mortgage demand hit a 25 year low. Within the sectors best performing industries being casinos, retail, oil and gas.

Cannabis stocks were the highlight as President Joe Biden pardoned all prior federal offences of simple marijuana possession. In some states within the US marijuana possession is treated the same as heroin possession.

In company news, Peloton Interactive said it plans to cut 500 jobs, or about 12 per cent of its workforce, as it looks to turn around the struggling at-home fitness company. The business was flying during COVID but has struggled to maintain momentum as people return to work.

Shares of Twitter dipped Thursday as the social-media company's back-and-forth with potential acquirer Elon Musk continued. On Thursday afternoon, the Wall Street Journal reported that the parties were working to complete a deal to move ahead with the acquisition by Monday.Twitter is now focused on ensuring that Musk follows through this time.

Currencies

One Australian dollar has weakened compared to the US dollar yesterday, buying 64.11 US cents v 65 cents yesterday (Thu: 64.99 US cents), 57.42 Pence Sterling, 93.04 Yen and 65.46 Euro cents.

Commodities

Gold added $0.80 or 0.1 per cent to US$1722 an ounce.

Silver gained $0.15 or 0.7 per cent to US$20.69 an ounce.

Copper lost $6.65 or 1.9 per cent to US$343.40 a pound.

Oil added $1.18 or 1.3 per cent to US$88.94 a barrel.

Futures

The SPI futures are pointing to a 0.7 per cent fall.

Figures around the globe

Across the Atlantic, European markets closed lower. Paris fell 0.8 per cent, Frankfurt lost 0.4 per cent while London’s FTSE closed 0.8 per cent lower.

In Asian markets, Tokyo’s Nikkei gained 0.7 per cent, Hong Kong’s Hang Seng lost 0.4 per cent while China’s Shanghai Composite was closed.

Yesterday, the Australian sharemarket closed flat at 6818.

Ex-dividends

Cosol (ASX:COS) is paying 1 cent fully franked
Elanor Retail Property Fund (ASX:ERF) is paying 36 cents unfranked
MFF Capital Investments (ASX:MFF) is paying 4 cents fully franked

Dividends payable

360 Capital Group (ASX:TGP)
AUB Group Ltd (ASX:AUB)
Austco Healthcare Ltd (ASX:AHC)
Cleanaway Waste Management Ltd (ASX:CWY)
CTI Logistics Ltd (ASX:CLX)
DDH1 Ltd (ASX:DDH)
EarlyPay Ltd (ASX:EPY)
G8 Education Ltd (ASX:GEM)
Genesis Energy Ltd (ASX:GNE)
Home Consortium (ASX:HMC)
Humm Group Ltd (ASX:HUM)
LaserBond Ltd (ASX:LBL)
Lindsay Australia Ltd (ASX:LAU)
Lycopodium Ltd (ASX:LYL)
Macmahon Holdings Ltd (ASX:MAH)
Monash IVF Group Ltd (ASX:MVF)
National Tyre & Wheel Ltd Ordinary Shares (ASX:NTD)
Peter Warren Automotive Holdings Ltd (ASX:PWR)
Reliance Worldwide Corp Ltd (ASX:RWC)
Shine Justice Ltd (ASX:SHJ)
Spark New Zealand Ltd (ASX:SPK)
Ventia Services Group Ltd (ASX:VNT)
Vita Life Sciences Ltd (ASX:VLS)
Vulcan Steel Ltd (ASX:VSL)
WiseTech Global Ltd (ASX:WTC)