U.S. futures were near the flatline on Friday morning as investors looked ahead to the release of a crucial jobs report. Futures on the Nasdaq 100 (NDX), the S&P 500 (SPX), and the Dow Jones Industrial Average (DJIA) were up by about 0.19%, 0.13%, and 0.15%, respectively, at 3:02 a.m. EST, July 5.
All the major indices are headed to close the holiday-shortened trading week in the green. So far this week, the Nasdaq Composite, the S&P 500, and the Dow Jones have gained 2.5%, 1%, and 0.5%, respectively.
In today’s economic reports calendar, investors are awaiting the release of last month’s Nonfarm Payrolls and Unemployment Rate data points. Economists expect nonfarm payroll to increase by 200,000 jobs in June and the unemployment rate to hold steady at 4%.
This report will be closely analyzed by investors as recent economic data suggests a potential slowdown. The focus lies on how this information might influence the Federal Reserve’s future monetary policy decisions.
Ryan Sweet, Chief U.S. Economist at Oxford Economics, believes the Fed’s growing concern with labor market trends strengthens the case for an initial interest rate cut in September.
Meanwhile, the U.S. 10-year treasury yield was up, floating near 4.35% at the time of writing. Also, the WTI crude oil futures are trending lower, hovering near $83.68 per barrel as of the last check.
Elsewhere, European markets are expected to open higher today ahead of the results of the U.K.’s general election.
Asia Pacific Markets Traded Lower on Friday
Most of the Asia-Pacific markets traded in the red today. Investors held a cautious stance ahead of China’s June Consumer and Producer Price Index reports next week, which will provide insights into inflationary pressures in the economy.
At the time of writing, Hong Kong’s Hang Seng index and China’s Shanghai Composite index were down 0.95% and 0.26%, respectively. At the same time, Japan’s Nikkei and Topix indices dropped 0.003% and 0.49%, respectively. However, China’s Shenzhen Component index traded higher by 0.27%.