Latest news with #Nasdaq100E-minis
Gulf Today
8 hours ago
- Business
- Gulf Today
US job growth slows in May; unemployment rate steady
US job growth slowed in May amid headwinds from tariff uncertainty, while the unemployment rate held steady at 4.2 per cent, potentially giving the Federal Reserve cover to delay resuming interest rate cuts for a while. Nonfarm payrolls increased by 139,000 jobs last month after rising by a downwardly revised 147,000 in April, the labour Department's Bureau of labour Statistics said in its closely watched employment report on Friday. Economists polled by Reuters had forecast 130,000 jobs added after a previously reported 177,000 rise in April. Estimates ranged from 75,000 to 190,000 jobs. The unemployment rate remained at 4.2 per cent for the third straight month. The economy needs to create roughly 100,000 jobs per month to keep up with growth in the working age population. That number could decline as President Donald Trump has revoked the temporary legal status of hundreds of thousands of migrants amid an immigration crackdown. Much of the job growth this year reflects worker hoarding by businesses amid Trump's flip-flopping on tariffs, which economists say has hampered companies' ability to plan ahead. Opposition to Trump's tax-cut and spending bill from hardline conservative Republicans in the US Senate and billionaire Elon Musk adds another layer of uncertainty for businesses. Employers' reluctance to lay off workers potentially keeps the US central bank on the sidelines until the end of the year. Financial markets expect the Fed will leave its benchmark overnight interest rate unchanged in the 4.25 per cent-4.50 per cent range this month, before resuming policy easing in September. US Treasury yields rose after data on Friday showed that employers added more jobs than economists had expected in May, while average hourly earnings also rose more than was forecast. Employers added 139,000 jobs last month, above estimates for a 130,000 increase. Average hourly earnings increased 0.4 per cent in May, above expectations for a 0.3 per cent increase. The unemployment rate held steady at 4.2 per cent, as expected. The yield on benchmark US 10-year notes was last up 5.1 basis points on the day at 4.446 per cent. Interest rate sensitive two-year note yields rose 3.8 basis points to 3.962 per cent. US stock index futures extended gains on Friday after a stronger-than-expected jobs report calmed worries over the health of the labour market in the wake of President Donald Trump's tariff war. A labour Department report showed nonfarm payrolls increased 139,000 in May, compared with estimates for a rise of 130,000, according to economists polled by Reuters. The unemployment rate stood at 4.2 per cent, in-line with a forecast of 4.2 per cent. At 08:30 a.m. ET, Dow E-minis were up 232 points, or 0.57 per cent, S&P 500 E-minis were up 36.25 points, or 0.63 per cent, and Nasdaq 100 E-minis were up 142.75 points, or 0.66 per cent Meanwhile the dollar was headed for a weekly loss on Friday, undermined by signs of fragility in the US economy and little progress on trade negotiations between Washington and its partners, ahead of a critical jobs report. The US nonfarm payrolls report expected later on will draw greater scrutiny after a slew of weaker-than-expected economic data this week underscored that President Donald Trump's tariffs were taking a toll on the economy. Analysts say the data so far has indicated that the US economy faces a period of increasing price pressures and slowing growth, which could complicate Federal Reserve monetary policy, even as Trump has been critical of the institution's cautious stance. Against a basket of currencies, the dollar edged up to 98.9, and was headed for a weekly loss of 0.5 per cent. The euro was taking a breather after hitting a 1-1/2-month top on Thursday following hawkish remarks from the European Central Bank. It last bought roughly $1.1423, down just 0.18 per cent on the day. Traders have pushed back expectations on the timing of the next rate cut, but continue to anticipate a 25-basis point reduction by year-end. Deutsche Bank's Mark Wall said he still expects 50 basis points worth of ECB rate cuts, adding 'it is still too early to judge the impact of the trade war, and the path of the trade war is in any case still inherently unpredictable.' Reflecting a struggling economy, data showed that German exports and industrial output fell more than expected in April. Most currencies had surged against the dollar late on Thursday, helped by news that Trump and Chinese President Xi Jinping spoke on a call for more than an hour, before paring some of their gains. Investors remain worried about US trade negotiations and the lack of progress in hashing out deals ahead of an early July deadline. The highly anticipated call between Trump and Xi also provided little clarity and the spotlight on it was quickly stolen by a public fallout between Trump and Elon Musk. Elsewhere, cryptocurrency dogecoin, often supported by Musk, was a touch firmer after falling to a one-month low on Thursday. US equity funds saw outflows for a third straight week through June 4, as concerns lingered over uncertainty surrounding US trade policies, while investors remained cautious ahead of a key jobs report due Friday. Reuters
Yahoo
2 days ago
- Business
- Yahoo
US stock futures rise as tech shares find support
(Reuters) -U.S. stock index futures edged higher on Wednesday as Hewlett Packard Enterprise's results fanned AI optimism and tech shares gained, while investors awaited fresh data to better gauge the economic impact of President Donald Trump's tariffs. Shares of HPE rose nearly 6% in premarket trading as demand for the company's artificial-intelligence servers and hybrid cloud segment helped it beat estimates for second-quarter revenue and profit. AI chip leader Nvidia rose 1%, extending gains from early this week. Other chipmakers including Broadcom and Advanced Micro Devices also climbed. A gauge of global stocks touched record highs despite uncertainty around U.S. trade policies. Washington doubled its tariffs on steel and aluminum imports on Wednesday, which is also the target Trump had set for trading partners to make their best offers to avoid other punishing import levies from taking effect in early July. The tariffs on imported steel and aluminum will jump to 50% from the 25% rate introduced in March. Investor focus is squarely on tariff negotiations between Washington and its trading partners, with Trump and Chinese leader Xi Jinping expected to speak sometime this week as tensions between the world's top two economies simmer. "All eyes are on China given it is currently the biggest loser from Trump's new trade policy, and it looks like we're still some way off from a deal between the two countries," said Russ Mould, investment director at AJ Bell. At 06:03 a.m. ET, Dow E-minis were up 60 points, or 0.14%, S&P 500 E-minis were up 12 points, or 0.2%, and Nasdaq 100 E-minis were up 37.75 points, or 0.17% May was the best month for the S&P 500 index and the tech-heavy Nasdaq since November 2023, thanks to a softening of Trump's harsh trade stance. With fresh tariff announcements in place, the S&P 500 remains about 3% away from its record highs touched in February. Barclays joined a slew of other brokerages in raising its year-end price target for the S&P 500, pointing to easing trade uncertainty and expectations of normalized earnings growth in 2026. Data scheduled for Wednesday includes ADP National Employment data for May as well as S&P Global and ISM's services sector activity readings for May. Ahead of a U.S. central bank meeting next week, monthly jobs data due on Friday will likely offer more signs on how trade uncertainty is affecting the U.S. economy. Among other early movers, Wells Fargo shares rose 3.6% after the U.S. Federal Reserve removed a $1.95 trillion asset cap imposed in 2018 following years of missteps. Shares of cybersecurity firm CrowdStrike fell 6.9% after it forecast quarterly revenue below estimates.
Yahoo
28-05-2025
- Business
- Yahoo
US stock futures dip after sharp rally, focus on Nvidia earnings
(Reuters) -U.S. stock index futures slipped on Wednesday after a sharp rally in the previous session, when easing tariff tensions boosted sentiment, as investors focused on AI bellwether Nvidia's upcoming earnings and developments on the trade front. Shares of the chipmaker fell 0.2% in premarket trading ahead of its results, due to be released after markets close. Nvidia is expected to report a 66.2% surge in first-quarter revenue, according to data compiled by LSEG. Traders in the options markets are bracing for industry-wide volatility with defensive options contracts drawing heavy attention for the VanEck Semiconductor ETF, the largest semiconductor ETF. At 05:14 a.m. ET, Dow E-minis were down 101 points, or 0.24%, S&P 500 E-minis were down 12 points, or 0.2% and Nasdaq 100 E-minis were down 38.25 points, or 0.18%. Most megacap and growth stocks traded in a flat-to-lower band after Tuesday's surge, with and Meta Platforms down 0.4% each. All three main Wall Street indexes soared in the last session, after U.S. President Donald Trump backed down from his 50% tariff threat against the European Union. The implementation of the tariffs is now delayed until July 9 to allow for negotiations between the White House and the 27-nation bloc. U.S. equities are set for robust monthly gains, with both the S&P 500 and the Nasdaq on pace for their best monthly showing since November 2023, as easing concerns around global trade, upbeat earnings and tame inflation data boosted risk appetite. The S&P 500 is now about 4% off its record closing high reached on February 19, having plunged as much as 18.9% below that level in the wake of Trump's erratic tariff announcements that have whipsawed markets for much of his second term. Looking ahead, minutes from the U.S. Federal Reserve's last policy meeting - where the central bank held borrowing costs steady - are slated for release at 2 p.m. ET. Personal Consumption Expenditure data - the Fed's favored inflation indicator - for April, as well as a second estimate of first-quarter GDP, are scheduled to be released later this week. New York Fed President John Williams said central banks must "respond relatively strongly" when inflation begins to deviate from their target, given the high uncertainty around the economic impact of U.S. tariffs and trade policy. Yields on long-dated U.S. government bonds were slightly higher after scaling multi-month highs last week. Those on the 10-year note were up 3.7 basis points to 4.47%. Global bond markets have been in the spotlight lately over concerns about fiscal sustainability in major economies including the United States and Japan. Cybersecurity firm Okta flagged risks related to the uncertain economic environment but stuck to its full-year outlook. Its shares dropped 12.3%. Box Inc climbed 11.5% after the content cloud firm raised its annual profit and revenue forecasts.
Yahoo
28-05-2025
- Business
- Yahoo
US stock futures dip after sharp rally, focus on Nvidia earnings
(Reuters) -U.S. stock index futures slipped on Wednesday after a sharp rally in the previous session, when easing tariff tensions boosted sentiment, as investors focused on AI bellwether Nvidia's upcoming earnings and developments on the trade front. Shares of the chipmaker fell 0.2% in premarket trading ahead of its results, due to be released after markets close. Nvidia is expected to report a 66.2% surge in first-quarter revenue, according to data compiled by LSEG. Traders in the options markets are bracing for industry-wide volatility with defensive options contracts drawing heavy attention for the VanEck Semiconductor ETF, the largest semiconductor ETF. At 05:14 a.m. ET, Dow E-minis were down 101 points, or 0.24%, S&P 500 E-minis were down 12 points, or 0.2% and Nasdaq 100 E-minis were down 38.25 points, or 0.18%. Most megacap and growth stocks traded in a flat-to-lower band after Tuesday's surge, with and Meta Platforms down 0.4% each. All three main Wall Street indexes soared in the last session, after U.S. President Donald Trump backed down from his 50% tariff threat against the European Union. The implementation of the tariffs is now delayed until July 9 to allow for negotiations between the White House and the 27-nation bloc. U.S. equities are set for robust monthly gains, with both the S&P 500 and the Nasdaq on pace for their best monthly showing since November 2023, as easing concerns around global trade, upbeat earnings and tame inflation data boosted risk appetite. The S&P 500 is now about 4% off its record closing high reached on February 19, having plunged as much as 18.9% below that level in the wake of Trump's erratic tariff announcements that have whipsawed markets for much of his second term. Looking ahead, minutes from the U.S. Federal Reserve's last policy meeting - where the central bank held borrowing costs steady - are slated for release at 2 p.m. ET. Personal Consumption Expenditure data - the Fed's favored inflation indicator - for April, as well as a second estimate of first-quarter GDP, are scheduled to be released later this week. New York Fed President John Williams said central banks must "respond relatively strongly" when inflation begins to deviate from their target, given the high uncertainty around the economic impact of U.S. tariffs and trade policy. Yields on long-dated U.S. government bonds were slightly higher after scaling multi-month highs last week. Those on the 10-year note were up 3.7 basis points to 4.47%. Global bond markets have been in the spotlight lately over concerns about fiscal sustainability in major economies including the United States and Japan. Cybersecurity firm Okta flagged risks related to the uncertain economic environment but stuck to its full-year outlook. Its shares dropped 12.3%. Box Inc climbed 11.5% after the content cloud firm raised its annual profit and revenue forecasts. Sign in to access your portfolio
Yahoo
22-05-2025
- Business
- Yahoo
US stock futures muted as Trump's tax bill stokes debt concerns
(Reuters) -U.S. stock index futures steadied on Thursday after a fall in the previous session, when Treasury yields surged, as investors worried President Donald Trump's tax and spending bill could sharply inflate the country's debt burden. If passed, the legislation that Trump nicknamed "one big beautiful bill" will add $3.8 trillion to the $36.2 trillion U.S. debt pile over the next decade, according to the nonpartisan Congressional Budget Office. The House of Representatives voted roughly along party lines on Thursday during a debate that will lead to a vote on passage later in the morning. "The growing mountain of U.S. debt is causing ripples of worry across financial markets, with signs investors are baulking at financing the Trump administration," said Susannah Streeter, head of money and markets at Hargreaves Lansdown. At 05:13 a.m. ET, Dow E-minis were down 49 points, or 0.12%, S&P 500 E-minis were up 4.5 points, or 0.08%, and Nasdaq 100 E-minis were up 37.5 points, or 0.18%. All three main stock indexes saw their biggest single-day percentage drops in a month on Wednesday, as Treasury yields spiked on worries about mounting U.S. debt. Longer-dated Treasury yields eased a touch, coming off their multi-month highs on Thursday. Those on the 10-year benchmark fell 2 basis points to 4.57%. Most megacap and growth stocks inched higher in premarket trading, with Google-parent Alphabet leading with a 1.3% rise. Cryptocurrency and blockchain-related stocks jumped as bitcoin, the world's biggest cryptocurrency, climbed to a record high. Exchange operator Coinbase advanced 2.5%, bitcoin stockpiler Strategy gained 1.4% and crypto miners including MARA Holdings added 4%. Snowflake jumped 10.2% after the cloud computing firm raised its fiscal 2026 product revenue forecast. U.S. stocks have had a solid month so far, with the S&P 500 climbing more than 15% from its April lows, when Trump's reciprocal tariffs rattled global markets. A pause in tariffs, a temporary U.S.-China trade truce and tame inflation data have pushed equities higher, although the S&P 500 is still about 3% off its record highs. At least two Federal Reserve officials including New York Fed President John Williams are slated to speak later in the day. Weekly jobless claims data and preliminary numbers of the May Purchasing Managers' Index are also scheduled to be released. Among stocks, shares of solar energy companies including First Solar dropped 3.4% as Trump's tax-cut bill is expected to end a number of green-energy subsidies. Insurer UnitedHealth extended losses after a nearly 6% drop in the last session and was down 1.8%. Earnings season is winding down, with more than 90% of S&P 500 companies having reported numbers. Analog Devices is due to report results before the bell and Nvidia is slated to report next week. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
