Equity futures rose on Friday, and the August jobs report came out largely as expected, dispelling fears that it would give the Fed room to raise rates more aggressively. Losses have shrunk.
Dow Jones Industrial Average futures jumped 155 points. S&P 500 and Nasdaq 100 futures each rose 0.6%.
Investors were reacting to the long-awaited nonfarm payrolls data. The economy added 315,000 jobs that month, the Bureau of Labor Statistics reported Friday. This was just below Dow Jones’ forecast of $318,000 for him. The unemployment rate rose to his 3.7%, beating his expectations by 2 points in 10 minutes.
The Dow and the S&P 500 closed higher after four days of decline in the pre-September session. The Nasdaq Composite fell, weighed down by a decline in semiconductor stocks, and for the first time since February he fell for five consecutive days.
All three major averages set low at the end of the week after plummeting on the last day of August and are set to be negative for the third consecutive week. Stocks fell after a US Federal Reserve (Fed) official made hawkish remarks suggesting that rate hikes won’t go away anytime soon. Now traders are watching closely to see if the stock will retest his June lows, especially since his September has historically been a weak month for the market.
Brian Kelly, founder of BKCM LLC, said on CNBC’s show, “Tomorrow’s half-day rise just before the job numbers are announced is for the simple reason that people don’t want it to be as short as it has been in the past few days. “Maybe,” he said. “Fast money.”
Retailer lululemon shares rose nearly 10% in premarket trading after reporting quarterly earnings that beat Wall Street expectations.