Warsaw Market Declines Amid Global Sell-off; No Panic Yet

Warsaw's stock market opened Monday in the red, mirroring a global trend of declining investor sentiment following a turbulent Friday. The WIG20 index shed approximately 0.9% in early trading, while mid- and small-cap stocks saw losses of around 1.2%. This downturn aligns with broader European markets, where Germany's DAX and France's CAC40 also fell by about 0.7% in morning trade.

The sell-off appears to be driven by a "mini-panic" on Wall Street, triggered by stronger-than-expected U.S. jobs data. The S&P 500 plunged over 2.6%, and the Nasdaq dropped a significant 4.8%. This robust employment report bolstered the U.S. dollar and put considerable pressure on American equities, fueling concerns that the Federal Reserve might maintain its restrictive monetary policy due to persistent inflationary pressures.

Investors are now keenly awaiting the Federal Reserve's upcoming decision, scheduled for June 17. The U.S. non-farm payrolls figure came in at 172,000, double the consensus estimate of 85,000, with revisions adding another 29,000 for March and 64,000 for April. This strong performance in the U.S. labor market contributed to the largest single-day drops for major U.S. indices this year, particularly hitting the technology sector hard.

Asian markets also experienced nervousness, with South Korea's Kospi index falling 7.8%, Japan's Nikkei225 down nearly 3.9%, and Hong Kong's Hang Seng down 1.3%. Amidst this global volatility, the U.S. dollar remains strong, pushing the EUR/USD pair towards 1.15. Interestingly, oil prices have risen, with WTI crude returning above $94 per barrel. Cryptocurrencies, however, have shown resilience, with Bitcoin defending the $60,000 level and rising over 2% to trade above $63,000.