Investing.com: U.S. Stock Futures Rise as Investors Await Nonfarm Payrolls Data for Rate Cues
In holiday-thinned trade on Friday, U.S. stock index futures edged higher with all eyes on the upcoming nonfarm payrolls data for more clues on interest rates. At 06:10 ET (10:10 GMT), the S&P 500 traded largely unchanged, the Dow Jones gained 2 points, or 0.1%, and the Nasdaq climbed 20 points, or 0.1%.
With equity markets closed for the Independence Day holiday on Thursday, Wall Street indexes were at record highs earlier in the week. Soft economic readings have increased expectations that the Federal Reserve will start cutting interest rates by September.
Traders are expecting tight trading ranges on Friday as they await the release of the key nonfarm payrolls data. Economists predict that the U.S. economy added 189,000 jobs in June, following a larger than forecast gain of 272,000 the previous month. This potential cooling in the job market comes after multiple weaker-than-expected labor market readings this week.
The Fed's decision to cut interest rates will depend on the state of the labor market. The odds of a 25 basis point rate cut in September are now at 66.3%, up from 59.5% last week.
In other news, Tesla stock rose almost 2% premarket due to increased demand in China. Macy's stock also saw a 4% rise after a bid to buy the department store chain was raised to $6.9 billion. However, Coinbase Global stock fell 6.5% premarket as Bitcoin prices hit a low point since February.
Crude prices remained steady on Friday, on track for a fourth consecutive positive week. Strong summer fuel demand in the U.S. has boosted oil prices, with U.S. crude futures rising to $83.98 a barrel and the Brent contract at $87.40 a barrel.
Overall, the financial markets are reacting to economic data and geopolitical tensions, which can impact your investments and finances. Stay informed and be prepared for potential changes in interest rates, stock prices, and oil prices to make smart investment decisions.