U.S. stock futures rise as markets await September jobs report, 74% see Fed holding rates

  • U.S. stock futures advanced before the September employment report.
  • 89,500 jobs was the upper end of economists’ September payroll estimate range.
  • The Federal Reserve’s next scheduled rate meeting is October 28.

U.S. stock futures advanced Friday before the September employment report, with S&P 500 futures up 0.4%, Nasdaq 100 contracts nearly 0.6% higher and Dow futures gaining about 209 points, or 0.4%. Economists expected employers to add roughly 85,000 to 89,500 positions, below August levels, while the unemployment rate was forecast at 4.1%, unchanged from August. Markets assigned a 74% probability that the Federal Reserve would keep interest rates unchanged at its October 28 meeting, although most observers still expected at least one 25-basis-point increase before year-end, probably in December. Brent crude fell to about $99 a barrel as investors assessed inflation and monetary-policy risks. The Middle East military situation, entering its eighth month, remained an inflation concern after reports that the United States sent another aircraft carrier and about 10,000 sailors and Marines to the Persian Gulf. President Trump said he was considering renewed military operations against Iran after the midterm elections and wanted the conflict resolved around that time. Treasury yields were little changed, and the jobs data and Middle East developments were expected to influence equities and crude trading through the rest of the month.

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