Stock futures tick higher as traders await delayed January jobs report: Live updates
The stock market is abuzz with anticipation as traders eagerly await the release of the delayed January jobs report, which is expected to shed light on the state of the U.S. economy. On Tuesday, stock futures inched higher, with S&P 500 futures rising 0.2% and Nasdaq 100 futures gaining 0.2%. Futures tied to the Dow Jones Industrial Average advanced 85 points, or nearly 0.2%.
This positive movement comes as traders look forward to the Bureau of Labor Statistics' release of the January nonfarm payrolls report, which had been delayed due to a partial government shutdown that ended on February 3. Economists predict little to no growth in January, with the consensus calling for a gain of 55,000, compared to December's increase of 50,000. The unemployment rate is expected to remain stable at 4.4%.
The market's sentiment is already negative, driven by weaker-than-expected consumer data released on Tuesday. Consumer spending in December was flat, falling short of the expected 0.4% monthly gain. This, coupled with the uncertainty surrounding the economy and the potential impact of AI on the labor market, makes the upcoming jobs report crucial.
Krishna Guha, head of economics and central bank strategy at Evercore ISI, noted the weaker relationship between growth and employment, attributing it to uncertainty and potential secular AI-related effects on the labor market. A lackluster jobs report could further dampen market sentiment, especially with the recent decline in software stocks due to the launch of an AI-powered tax planning tool by Altruist.
Despite the positive stock futures movement, the market's focus remains on the delayed jobs report and its potential impact on the economy. As the week progresses, traders will also be keeping an eye on other economic data, such as the consumer price index, which is expected to be released on Friday, providing further insights into the economic landscape.
