Major US stock indexes ended the session mainly in the red, as the growth in financial performance after a strong employment report was offset by a decrease in shares in the energy sector.
Data from Automatic Data Processing (ADP) showed that the growth rate of employment in the private sector of the US accelerated in February stronger than expected. According to the report, in February the number of employed increased by 298 thousand people compared to the revised upward indicator for January at the level of 261 thousand (originally reported growth of 246 thousand). Analysts had expected that the number of employed will increase by 190 thousand.
In addition, wholesale stocks in the US fell somewhat more than anticipated in January, but investment in inventories could still contribute to economic growth in the first quarter. The Ministry of Trade reported that wholesale stocks decreased by 0.2%, the biggest drop since February 2016, after rising 1.0% in December. The ministry reported last month that wholesale inventories were down 0.1% in January.
Oil futures fell by about 5%, due to mixed data on oil products stocks and general strengthening of the US dollar. The US Energy Ministry reported that in the week of February 25-March 3, oil reserves increased significantly, exceeding forecasts, while stocks of gasoline and distillate sharply decreased. According to the data, oil reserves increased by 8.2 million barrels to 528.4 million barrels. Analysts had expected an increase of only 1.660 million barrels.
The components of the DOW index have mostly declined (23 out of 30). Caterpillar Inc. shares fell more than others. (CAT, -2.70%). The leader of growth was shares of Microsoft Corporation (MSFT, + 0.78%).
The sectors of the S & P index showed mixed dynamics. Most of all, the main materials sector fell (-2.2%). The leader of growth was the healthcare sector (+ 0.3%).
At closing:
Dow -0.33% 20,855.35 -69.41
Nasdaq + 0.06% 5,837.55 +3.62
S & P -0.23% 2,363.05 -5.34
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