Stocks Fall Before US Jobs; Oil Dips Below $60: Markets Wrap

(Bloomberg) — Stocks declined and the dollar hovered near two-month lows as investors reined in risk ahead of key US economic data that will offer clues on the path for interest rates.

Futures pointed to a third day of losses for the S&P 500. European equities ticked down 0.1%. Bitcoin sank more than 1% before trimming the loss to trade around $86,000. Brent crude dropped below $60 a barrel for the first time since May and gold pulled back after five days of gains.

The November US jobs report on Tuesday is shaping up to be the main data event for markets in the last full trading week of 2025. A print that reinforces the picture of a sluggish economy could buoy stocks by supporting bets for further rate cuts, while a big miss may spook markets.

“We’ve seen a clear risk-off tone,” said Tareck Horchani, head of prime brokerage dealing at Maybank Securities in Singapore. “Valuation concerns are also creeping in, and with major macro data prints — like today’s jobs report — some funds appear to be reducing beta exposure or locking in gains.”

The report will also include an estimate of October payrolls — figures that were delayed by the federal shutdown. Economists project a 50,000 increase in November payrolls and a 4.5% unemployment rate. The US consumer price index is scheduled for Thursday.

Treasury 10-year yields steadied around 4.17% after edging down on Monday amid bets the Federal Reserve will cut rates twice next year to support the jobs market.

In Europe, German bond yields dipped after manufacturing and services PMIs missed estimates. The pound traded little changed after unemployment climbed to its highest level in almost five years and wage growth eased, potentially clearing one of the final hurdles to a rate cut by the Bank of England this week.

Traders were keeping a close eye on technology shares, with AI-related firms remaining under pressure. An MSCI gauge of Asian tech stocks fell for a second straight day, putting it on course for its lowest level since early December.

“There is a general rotation out of AI and tech,” said Ritesh Ganeriwal, head of investment at Syfe Pte. in Singapore.

Elsewhere, Nasdaq Inc., the second-largest exchange in the US, is looking for regulatory approval to extend trading hours on its stock venues to 23 hours during the work week.

What Bloomberg’s Strategists Say…

Rates traders turned decisively this month to betting that 2026 will be a year where rate hikes will outweigh cuts. The new year may look a lot like the trading patterns of recent months, with yields grinding higher to act as tougher hurdles for equity gains. Bonds will also face a tougher time of it.

— Garfield Reynolds, MLIV Asia Team Leader. Click here for the full analysis.

Corporate News:

Mitsubishi UFJ Financial Group Inc. is nearing a deal to buy a minority stake in India’s Shriram Finance Ltd., the latest foreign bank seeking to build a presence in the world’s most populous country. PayPal Holdings Inc. applied to become a bank in the US, looking to take advantage of the Trump administration’s openness to financial-technology companies entering the banking system. Ford Motor Co. will take $19.5 billion in charges tied to a sweeping overhaul of its electric vehicle business after struggling for years to make it profitable. Some of the main moves in markets:

Stocks

The Stoxx Europe 600 fell 0.1% as of 8:40 a.m. London time S&P 500 futures fell 0.4% Nasdaq 100 futures fell 0.7% Futures on the Dow Jones Industrial Average fell 0.3% The MSCI Asia Pacific Index fell 1.4% The MSCI Emerging Markets Index fell 1.3% Currencies

The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1749 The Japanese yen rose 0.2% to 154.89 per dollar The offshore yuan was little changed at 7.0378 per dollar The British pound was little changed at $1.3382 Cryptocurrencies

Bitcoin was little changed at $86,142.89 Ether fell 0.6% to $2,927.8 Bonds

The yield on 10-year Treasuries was little changed at 4.16% Germany’s 10-year yield declined one basis point to 2.84% Britain’s 10-year yield advanced one basis point to 4.51% Commodities

Brent crude fell 1.2% to $59.81 a barrel Spot gold fell 0.6% to $4,279.96 an ounce This story was produced with the assistance of Bloomberg Automation.

–With assistance from Toru Fujioka, Abhishek Vishnoi and Bernadette Toh.

©2025 Bloomberg L.P.