Friday December 6th

6-12-2019

US stock futures rise ahead of November’s jobs report

U.S. stock index futures traded higher on Friday as investors awaited the release of the government’s latest jobs report. Around 7 a.m. ET, Dow Jones Industrial Average futures were up 75 points, indicating a gain of more than 70 points at the open. S&P 500 and Nasdaq 100 futures also rose. The Labor Department is scheduled to release U.S. employment data at 8:30 a.m. ET. Economists polled by Dow Jones are expecting 187,000 jobs added in November — one of the highest estimates this year ahead of a jobs report. The data is expected to reflect a temporary boost from striking General Motors autoworkers returning to work. Unemployment rate data and average hourly wages for November will both be released at the same time. Other data slated for release Friday includes consumer sentiment for December, wholesale trade figures for October and the latest reading of consumer credit will all follow slightly later in the session. Market focus is largely attuned to global trade developments, following an upbeat tone from President Donald Trump. On Thursday, Trump said the world’s two largest economies were inching closer to a trade deal. His comments come as investors continue to closely monitor the prospect of a so-called phase one trade agreement, with less than 10 days to go before Washington is poised to impose even more tariffs on Chinese goods. Tariffs on another $156 billion in Chinese goods are set to go into effect on Dec. 15. Stocks in Asia rose on Friday ahead of U.S. nonfarm payrolls data for November expected to be released later in the day stateside. Mainland Chinese stocks were higher on the day, with the Shenzhen component adding 0.81% to 9,878.62 and the Shenzhen composite also advancing 0.821% to about 1,640.33. The Shanghai composite rose 0.43% to around 2,912.01. Hong Kong’s Hang Seng index rose 1.07% to close at 26,498.37. The Nikkei 225 in Japan rose 0.23% to close at 23,354.40, while the Topix index ended its trading day 0.11% higher at 1,713.36. In South Korea, the Kospi added 1.02% to close at 2,081.85. Oil prices fell on Friday, but were set for weekly gains ahead of the OPEC+ meeting which kicked off Friday in Vienna. The Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia - a grouping known as OPEC+ - agreed on Thursday to more output cuts to avert oversupply as economic growth stagnates amid the U.S.-China trade war. But OPEC stopped short of pledging action beyond March and analysts have questioned the impact of the latest curbs. Brent futures were down 18 cents at $63.21, but are set to rise 1.5% on the week. West Texas Intermediate oil futures fell 33 cents to $58.10 a barrel. They are set to rise nearly 6% on the week. Gold eased on Friday as risk appetite improved after U.S. President Donald Trump said trade talks with Beijing were making progress, while markets awaited U.S. jobs data for signs on the health of the U.S. economy. Spot gold was muted at $1,475.90 per ounce, but was set to be up nearly 0.8% on the week, marking a second week of gains. U.S. gold futures eased 0.1% to $1,480.90 per ounce.