September S&P 500 E-Mini futures are up +0.19% and Nasdaq 100 E-Mini futures are up +0.33% this morning, indicating investor optimism after the latest jobs report. Wall Street’s major indexes ended mixed yesterday, with Alphabet and Apple leading gains. Labor Department data showed U.S. JOLTs job openings fell to a 10-month low and factory orders dropped -1.3% in July. Fed officials are signaling multiple rate cuts in the coming months. U.S. rate futures predict a 97.6% chance of a 25 basis point cut. The Fed’s Beige Book highlighted flat economic activity and tariff-related price increases. Today, investors await earnings reports and economic data releases, including U.S. ADP Nonfarm Employment Change, ISM Non-Manufacturing PMI, S&P Global Services PMI, Unit Labor Costs, Nonfarm Productivity, Trade Balance, and Initial Jobless Claims. Bond yields and European markets are also in focus, with the Euro Stoxx 50 Index down -0.04% amid concerns over global economic growth. The Fed’s rate cut is now expected this month as job data is analyzed. Jet2 Plc’s profits are anticipated at the lower end of guidance, causing a -14% drop in stock. Eurozone’s Retail Sales fell short of expectations, with a -0.5% m/m and +2.2% y/y change. Asian stock markets closed mixed, with China’s SHCOMP down -1.25% and Japan’s NIK up +1.53%.
China’s SHCOMP fell for the third straight session due to profit-taking, especially in technology stocks. BYD reduced annual sales targets by up to 16%. Japan’s NIK rebounded, supported by a tech rally. Foreign investors sold Japanese stocks worth 785.7 billion yen. American Eagle Outfitters and Asana saw pre-market gains, while Salesforce and Figma suffered losses. Today’s U.S. earnings spotlight includes Broadcom, Copart, Lululemon Athletica, and more.
Read more at 1. Tesla reports record profits in Q3 earnings. – CNBC
2. Apple unveils new iPhone 13 models with improved cameras and faster chips. – Wall Street Journal
3. Federal Reserve announces plans to taper bond purchases as inflation concerns rise. – Reuters
4. Amazon Prime Day sales exceed $11 billion, setting new records for the e-commerce giant. – CBS MarketWatch: Stocks Rise Before the Open as Fed Rate-Cut Bets Grow, U.S. ADP Jobs Report in Focus