3 Minutes to Read (Click LIVE/ or type LIVE/ in a news window for a Reuters live blog on U.S., UK, and European financial markets.) * Futures are on the rise: The Dow Jones Industrial Average is down 0.01 percent, the S&P 500 is down 0.05 percent, and the Nasdaq Composite Index is down 0.20 percent. Reuters, July 2 – On Friday, futures tracking the S&P 500 held near record highs as investors waited for more clarity on the U.S. jobs market and the destiny of loose monetary policy ahead of carefully watched employment statistics. Following the reopening of the government, the Labor Department’s most comprehensive jobs report, scheduled at 8:30 a.m. ET, is likely to reveal that job growth surged in June as employers increased perks for workers amid surging demand. Nonfarm payrolls were expected to rise by 700,000 jobs last month, according to economists polled by Reuters, after growing by 559,000 in May. In recent sessions, markets have been led by inflation and economic data, with investors concerned that a stronger-than-expected economic rebound and out-of-control inflation could compel the Federal Reserve to withdraw its assistance. “The market clearly needs a strong figure to keep its upbeat mood,” said Ipek Ozkardeskaya, senior analyst at Swissquote Bank. “A surprise weakness in jobs figures wouldn’t get the Fed to do more, when inflation is hovering around a worryingly high 5% and it’s not even sure that it’s a peak,” he added. Despite this, the S&P 500 began the second half of the year with its sixth consecutive all-time closing high in the previous session, fueled by a broad-based rise led by so-called “value” companies tied to the economy. The focus now switches to the second-quarter earnings season and the status of President Joe Biden’s infrastructure program, which might help the stock market maintain its upward trend. On Thursday, the Democratic-controlled United States House of Representatives passed a $715 billion surface transportation and water infrastructure bill, which Democrats regard as a first step toward sweeping infrastructure legislation that Congress intends to pass in September. Markets will be looking for minutes from the Federal Reserve’s June policy meeting next week, which will provide more information on policymakers’ views on inflation, bond tapering, and interest rates at a time when easy monetary policy appears to be reaching an inflection point amid a booming US economy. Dow e-minis were up two points, or 0.01 percent, S&P 500 e-minis were up two points, or 0.05 percent, and Nasdaq 100 e-minis were up 29.5 points, or 0.2 percent, at 6:41 a.m. ET. Rate-sensitive Before the opening bell, Bank of America, Wells Fargo, Goldman Sachs, Citigroup, JPMorgan Chase & Co, and Morgan Stanley traded in a mixed bag. The stock of Virgin Galactic Holdings soared 27% when the business announced that billionaire entrepreneur Richard Branson would fly to the edge of space on the company’s test flight on July 11, beating out fellow aspiring billionaire astronaut Jeff Bezos. (In Bengaluru, Devik Jain reported; Maju Samuel edited)/n
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