US Stocks Edge Higher Amid Rate Hike Uncertainty
US stocks are heading for a modestly higher open after Fed Governor Christopher Waller's dovish comments calmed inflation fears ahead of today's nonfarm payroll report. His remarks saw rate hike expectations for September drop to 50%, down from 63% just a day ago.
The market will be assessing the data to see whether recent weakness in the labour market is short-lived or becoming more serious. Weaker-than-expected jobs data could lower rate hike expectations further, while a stronger-than-expected report could ramp up expectations and push Treasury yields higher.
Lululemon fell 17% after posting second-quarter results that beat earnings expectations but missed on revenue, while AMC jumped over 5% after its CEO slammed Robinhood. Rare earth stocks rose on reports that some Chinese firms halted US shipments due to geopolitical concerns.