US Stocks Steady Ahead of Labor Market Data Amid Inflation Fears
US stock futures remained stable on Friday ahead of key labor market data. The July nonfarm payrolls report showed an unexpected loss of jobs, prompting traders to reassess their bets for Federal Reserve interest rate hikes.
The S&P 500 index rose 0.3% to 7,731.39 points, while the tech-heavy Nasdaq climbed 0.8% to 26,557.94 points. The blue-chip Dow Jones slipped 0.1% to 53,849.26 points.
The US Bureau of Labor Statistics reported a monthly loss of 23k jobs in July, compared to a consensus estimate for a rise of 85k. This marked the first monthly loss since February. Employment in May and June was revised lower by a combined 103k.
Bill Adams, chief US economist at Fifth Third Commercial Bank, attributed the miss in July to a decline in government employment, specifically local government education jobs.