The jobs report is a key indicator for investors trying to gauge the health of the US economy as the coronavirus pandemic rages on after having killed more than 180,000 Americans.
The moves are more muted than the 5% plunge on the tech-heavy Nasdaq overnight, or the S&P 500's 3.5% drop, which traders said was overdue given recent frothy gains.But investors are anxious the fall might turn into a deeper rout, with a crucial USA payrolls report due later on Friday seen as possible selling trigger if it disappoints. Treasury yields ticked higher and the dollar was little changed.
The Stoxx Europe 600 Index rose 0.2 per cent.More news: China launches secret spacecraft into orbit
The on the other hand closed 159 points lower, or 0.6%, at 28,133.31.
The index's decision not to include Tesla - at least not for now - may have rested on questions about the automaker's "profitability metrics" and murky full-year forecast, Dan Ives, a Wedbush Securities Inc analyst with a "Neutral" rating on the stock, wrote in a research note last Friday.
The exact cause of the sell-off is hard to decipher, but market watchers said that after technology shares did so well during the pandemic because people were cooped up at home using online services, a pullback is to be expected. Nvidia, Qorvo and Advanced Micro Devices fell 8% or more.More news: Mojang Studios Brings 'Minecraft' To PlayStation VR Via Free Upgrade
A currency trader walks near the screens showing the Korea Composite Stock Price Index (KOSPI), left, and the foreign exchange rate between US dollar and South Korean won at the foreign exchange dealing room in Seoul, South Korea, Thursday, Sept. 3, 2020. And Zoom is up more than 443% for the year. And yet, Apple is still up 64.8% this year, while Amazon is up 78.3%. "We should expect to see some larger corrections".
Tesla has been working to meet the criteria, with 4 full profitable quarters and enough revenue, but it seems that in the most recent S&P 500 reshuffle, while 3 new companies were included, Tesla was not one of them.
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