Stock Futures Flat Ahead of Key US Jobs Report for September
Stock futures are flat in early morning Friday. Jobs report expected to show the US economy added 500K hires in September.
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- Stock futures traded fairly flat early this morning as traders eye the latest US jobs report
- The nonfarm payrolls report is expected to show about 500K new jobs were added last month
What’s Moving in the Markets?
US stock futures are trading flat ahead of the regular market session on Friday. Today, traders and investors will be monitoring the latest data to get a glimpse into the growth of the US economy. In other words, it’s nonfarm payrolls week and the September jobs report will be released today.
In detail, the nonfarm payrolls data is one of the most important US economic indicators in any given month. It tracks the number of new hires added to the US labor market. On that note, it is used to evaluate the health and progress of the US economy. The more jobs added, the better the economy is doing until it reaches the so-called maximum level of employment.
Presently, about 8 million people less are employed in the US compared with pre-pandemic levels. That being said, the report is likely to significantly weigh on the performance of the US dollar. In addition, increased volatility could be expected in gold and silver prices.
Elsewhere in the Financial Markets
In other markets, bitcoin and cryptocurrencies are moving sideways on Friday. Heading to finish a strong week, the price of the orange coin now floats near $54,000. That said, bitcoin has gained about 13% since Monday, and is trading at a five-month high.
Meanwhile, the price of gold has been trading slightly to the downside today. The precious metal has slipped about 0.5% to change hands near $1,750 to $1,755 per troy ounce.
In currencies, the US dollar continues its climb against major peers, including the euro, the pound, and the Japanese yen.
What’s the Big Picture for Traders?
As the market expects fresh jobs data to land today, investor concerns about a potential US government default were eased. A long-awaited debt-limit deal was reached in the US Senate on Thursday. The agreement would allow the government to continue functioning at least until December. Now that the bill has passed Senate, it is headed to the House of Representatives.
Longer-term, market participants are weighing persistent inflation and prospects for higher interest rates. Additionally, the decision from the US Federal Reserve to reduce monetary support has further dampened the growth outlook for stocks.
In corporate news, next week marks the start of the earnings season. Third-quarter financial figures will be released by Wall Street giants JPMorgan, Morgan Stanley, and Goldman Sachs.
Economic Data Coming Up Today (EST times)
The US nonfarm payrolls report is slated for 8:30 today. Along with it, the unemployment rate will also be revealed. Also, at 8:30, the Canadian employment change numbers for September will be published.