U.S. stock futures were trading lower as investors awaited key jobs data, with futures for the Dow Jones Industrial Average down 0.4% and S&P 500 and Nasdaq-100 futures both falling 0.4%. Clorox shares slid 3.3% in premarket trading following lower-than-expected guidance for its fiscal first quarter, while energy companies like Chevron and ExxonMobil pulled back 1%. Weekly initial jobless claims came in at 207,000, ticking up 2,000 from the previous week but in line with expectations. Some investors had hoped for a labor market breakdown to signal an end to the current downturn in stocks. The 10-year Treasury yield ticked higher after the jobless claims report.
Stocks had a positive session, with the S&P 500 adding 0.8%, the Dow rising 0.4%, and the Nasdaq Composite jumping 1.35%. However, Liz Young, SoFi’s head of investment strategy, remained cautious and viewed the current reprieve as only temporary. The retreat in Treasury yields also aided stocks after ADP reported private job growth of only 89,000 for September, well below the estimate of 160,000. This suggested that the labor market may be loosening.
