Stock market today: Stock futures jump higher after positive signal on jobs, unemployment
08/08/2024 20:00
Wall Street saw a comeback attempt falter on Wednesday, as stocks faded into the close and ended up with sizable declines
US stock futures took a leap higher Thursday after weekly initial jobless claims fell more than forecast in a reassuring update on the health of the US labor market. Futures tied to the S&P 500 (ES=F) rose 0.7%, while those on the tech-heavy Nasdaq (NQ=F) jumped 0.9%. Dow Jones Industrial Average futures (YM=F) were up about 0.4%.
The normally routine labor market update found itself in the spotlight Thursday amid increasing scrutiny on the labor market, as last week's sluggish non-farm payrolls update served as one of the earliest catalysts of the recent declines.
Government data showed that there were 233,000 initial jobless claims in the week ending Aug. 3, down from 250,000 last week and fewer than what economists had forecast.
The number could add a fresh jolt into Thursday's trading. Wall Street saw a comeback attempt falter on Wednesday, as stocks faded into the close and ended up with sizable declines. The moves — from big gains to significant losses — continued a turbulent stretch that has pervaded in markets for much of the past week.
In individual movers, "Magnificent 7" stalwart and AI giant Nvidia (NVDA) is in focus after another back-and-forth day left its stock down another 5%. It rose slightly in premarket trading.
Eli Lilly (LLY) was the highlight on the earnings docket. Its stock soared over 10% in premarket trading after boosting its annual revenue and profit forecasts on strong weight-loss drug sales.
Live1 update
Initial jobless claims fall more than forecast, easing some fears about US labor market
Initial filings for unemployment insurance fell more than expected last week, offering some relief to markets worried about further signs of deterioration in the US labor market and the broader economy.
New data from the Department of Labor showed there were 233,000 initial jobless claims filed in the week ending August 3, down from 250,000 the week prior and below the 240,000 economists had expected. In the week ending July 27, jobless claims hit their highest level since August 2023.
Meanwhile, the number of continuing applications for unemployment benefits hit its highest level since November 2021, with 1.875 million claims filed in the week ending July 27, up 6,000 from the week prior.