As the economy recovers from COVID, U.S. stock-index futures recovered some ground on Friday, heading into a long holiday weekend, as a monthly labor market report came in better than expected on headline employment. Investors are watching the jobs numbers because, despite a record number of job postings, the labor market recovery has been uneven in the aftermath of the devastating pandemic.
The bond market in the United States will shut an hour early on Friday and will be closed on Monday in commemoration of the Fourth of July holiday, which comes on a Sunday this year. What is the current state of benchmark trading?
The Dow Jones Industrial Average futures YM00, +0.18 percent YMU21, +0.18 percent were 98 points higher at 34,607, up 0.3 percent.
Futures on the S&amp
Futures on the Nasdaq-100 index
NQ00, +0.62 percent NQ00, +0.62 percent NQ00, +0.62
NQU21, +0.62 percent was up 77.50 points at 14,626, an increase of 0.5 percent.
The S&P 500 SPX, +0.22 percent increased 22.44 points, or 0.5 percent, to close at 4,319.94 on Thursday; the Dow DJIA, -0.05 percent rose 131.02 points, or 0.4 percent, to settle at 34,633.53, within striking reach of its record close of 34,777.76 set on May 7. The Nasdaq Composite Index COMP, +0.51 percent finished at 14,522.38 points, up 18.42 points, or 0.1 percent. As of Thursday’s close, the Dow was on track for a weekly gain of 0.6 percent, marking its second consecutive weekly gain; the S&P 500 was up 0.9 percent, also on track for its second consecutive weekly gain; and the Nasdaq Composite was on track for a weekly gain of 1.1 percent, marking its second consecutive weekly gain. What is the stock market’s driving force? The United States added 850,000 jobs in June, the most since March, while employment growth in May were revised up to 583,000 from 559,000 in May. According to economists polled by The Wall Street Journal, the United States added 706,000 new jobs in June. Unemployment, on the other hand, increased to 5.9% from 5.8%. The unemployment rate was predicted to drop to 5.6 percent from 5.8 percent. In June, average hourly earnings in the United States increased by 10 cents to $30.40, and the average workweek in the United States decreased by 0.1 hour to 34.7 hours. Investors have been focusing on jobs because, despite signs that inflation is picking up in the aftermath of the pandemic, the jobs recovery hasn’t given market participants much confidence. The number of people quitting their jobs has lately reached an all-time high. There has also been a surge in retirements among the elderly who do not want to jeopardize their health. “While we know the Fed isn’t blind to inflation threats, we also know the labor market is a critical element in deciding the likely timing and pace of tightening when it occurs,” stated Neil Wilson, chief market analyst at Markets.com. In May, the labor-force participation rate, which measures the proportion of able-bodied adults 16 and older who are employed, was 61.6 percent, the same as in October. “The US economy has generated 14 million jobs since the labor market bottomed out in April of last year, but employment in May 2021 was still 7.5 million behind its pre-pandemic level,” according to PNC Financial Services senior economist Gus Faucher. The jobs report comes as weekly statistics released on Thursday revealed that weekly unemployment benefit claims in the United States fell to a historic low of 364,000 as additional benefits are phased out. In emailed remarks, Sameer Samana, senior global market strategist, Wells Fargo Investment Institute, stated, “Payrolls growth came in ahead of forecasts, with both the unemployment and underemployment rates continuing to fall.” However, the average workweek fell and the participation percentage remained stable, indicating that the recovery is still gradual and uneven, according to the Wells Fargo analyst. A report on foreign commerce in goods and services for May revealed an estimated deficit of $72.1 billion, slightly higher than predicted and higher than the $68.9 billion deficit in April. Factory orders for May will be released at 10 a.m., and are predicted to grow 1.5 percent month over month. On Friday, the Organization of the Petroleum Exporting Countries and Russia—members of the group known as OPEC+—delayed a decision on whether to ease output limitations in place to help stabilize oil prices. The oil decision comes as the group grapples with the COVID pandemic’s long-term effects on energy demand, as well as concerns about the impact of coronavirus variants in some parts of the world, as well as expectations for higher demand as many economies emerge from lockdowns and stay-at-home protocols imposed to contain the pandemic’s spread. Investors may also be watching the debate over the United States’ debt ceiling, as reports suggest Congress has no intentions to raise it. Which businesses are being scrutinized?
Krispy Kreme DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8.14 percent DNUT, -8
Robinhood Markets HOOD, a brokerage firm,
announced its intention to list under the ticker “HOOD” on the Nasdaq Inc. platform./n
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