Nonfarm payrolls ahead, U.S. futures tick lower - what's moving markets
Investing.com -- Stock futures in New York tick lower as investors gear up for the release of the closely-watched U.S. jobs report for December. Economists are projecting that nonfarm payrolls were less than the prior month, although recent data has pointed to resilience in labor demand that could boost the Federal Reserve's bid to engineer a soft landing for the world's largest economy.
1. Nonfarm payrolls ahead
The American economy is expected to have added fewer jobs in December versus the prior month, but is still seen rising at a solid rate.
Economists estimate that U.S. nonfarm payrolls rose by 170,000 last month, down from 199,000 in November. Average hourly earnings are projected to have increased at a monthly pace of 0.3%, decelerating marginally from the previous reading of 0.4%. The unemployment rate, meanwhile, is anticipated to come in at 3.8%, up from 3.7%.
A string of data earlier this week has pointed to a resilient jobs picture. Hiring by private employers in December far outpaced expectations and job openings fell to an almost three-year low.
Even still, labor demand has begun to show some signs of steadily easing under the strain of an unprecedented policy tightening campaign by the Fed that has brought rates up to 22-year highs. But if the slowdown remains gradual, it bodes well for a so-called «soft landing» — a scenario in which the Federal Reserve manages to defeat inflation without causing a collapse in the broader economy.
2. Futures inch lower
U.S. stock futures pointed into the red on Friday, with investors preparing for the release of the all-important jobs report.
By 05:07 ET (10:07 GMT), the Dow futures contract had dipped by 88 points or 0.2%, S&P futures had shed 11 points or 0.2%, and
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