Thursday, September 5, 2024 — Stock futures saw modest gains on Thursday as investors turned their attention to upcoming job market data, seeking clues about the potential trajectory of the U.S. economy and the risk of a recession.
Futures for the Dow Jones Industrial Average were up 19 points, or 0.1%, while S&P 500 and Nasdaq 100 futures also advanced by 0.1% each.
On Wednesday, market sentiment was unsettled after the Labor Department reported that job openings for July fell to 7.7 million, the lowest in three-and-a-half years and below economists’ expectations. The data suggested a slowdown in the labor market but was viewed as somewhat dated, given it is over a month old.
Investors are now closely watching Friday’s release of the August nonfarm payrolls report, which is anticipated to offer a clearer picture of the job market’s current state. Additionally, Thursday’s economic updates include weekly unemployment claims and the ISM services purchasing managers’ index, both of which could provide further insight into economic conditions amid ongoing recession fears.
Jim Reid, Deutsche Bank’s global head of macro research, noted in a morning report: “All eyes will remain on tomorrow’s August jobs report to determine whether the recent deterioration is an ongoing trend or just an anomaly. Today’s ISM services data will also be particularly significant given current market uncertainties.”
In the commodities markets, oil prices saw slight recoveries after a sharp decline earlier in the week attributed to weak demand signals from China. Brent crude rose 0.6% to $73.10 per barrel, while West Texas Intermediate (WTI) increased by 0.5% to $69.57 per barrel.
Bond yields have also decreased over the past day. The yield on the 10-year U.S. Treasury note was at 3.770%, while the 2-year Treasury yield stood at 3.777%.
Futures Overview:
E-Mini Dow (YM00): $41,097.00, up 46.00 points (+0.11%)
E-Mini S&P 500 (ES00): $5,537.00, up 7.00 points (+0.13%)
E-Mini Nasdaq 100 (NQ00): $18,980.25, up 17.75 points (+0.09%)
