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Nasdaq, S&P, Dow futures muted as job growth ticks down in June

seekingalpha.com 2024/10/5
Wall Street sign, New York City, USA
mbbirdy/E+ via Getty Images

Stock index futures showed little movement on Friday, as U.S. job growth edged down in June, while unemployment inched up.

S&P 500 futures (SPX) and Nasdaq 100 futures (US100:IND) were flat, and Dow futures (INDU) +0.1%.

The 10-year Treasury yield (US10Y) was down 5 basis points to 4.32%. The 2-year yield (US2Y) was down 7 basis points to 4.66%. See how Treasury yields have done across the curve at the Seeking Alpha bond page.

U.S. markets were closed yesterday on account of the U.S. Independence Day.

Traders also watched as 14 years of Conservative rule ended in the U.K. after the Labour Party won the general election by a landslide, with Keir Starmer becoming the new prime minister.

"The main event to look out for today is the U.S. jobs report for June. That will be a particularly interesting one, as the June survey data we’ve had so far has been weaker than expected, with both the ISM manufacturing and services prints in contractionary territory," Deutsche Bank's Jim Reid said.

U.S. nonfarm payrolls rose by 206K in June, surpassing the 191K consensus and a slower pace than the 218K notched in May, which was revised down from 272K, the U.S. Department of Labor said on Friday.

The unemployment rate ticked up to 4.1% in June, vs. 4.0% expected, from 4.05% in the previous month.

"However, there have been doubts about the quality of household survey in recent months, so the fact that the unemployment number has been edging up has been viewed with a little bit of suspicion," Reid added.

The Federal Reserve's balance sheet is also due later in the day today.

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