Premarket: S&P 500 Futures Jump On Strong NFP Report

Summary:

S&P 500 futures jump higher after better than expected employment data that continues today after yesterday also better than expected economic data.

S&P 500 futures jump higher after better than expected employment data that continues today after yesterday also better than expected economic data.

NFP Data Beat Forecasts

United States Nonfarm Payrolls came in at 4800K, beating the analyst’s expectations of around 3000K in June. The 4.8 million new additions were the most jobs to be created in a month since the records began in 1939. The Unemployment Rate came at 11.1%, beating the analysts’ consensus of 12.3%. The Average Hourly Earnings came in at 5% below the expectations of 5.3%.

The Initial Jobless Claims came in at 1427K above the estimates of 1355K in the week of June 26. The Continuing claims rose to 19.3 million in the week ended June 20.

Investors leave behind that new daily infection in the U.S. hit another record, topping 50,000 yesterday, with Texas, Arizona and California continued to see unprecedented increases.

The S&P 500 futures trading at daily highs and are 1.25% higher at 3,142. The Dow Jones futures are 1.62% higher at 25,988, while the Nasdaq futures are 1.01% higher at 10,372.

Tesla’s shares rally in the pre-market after the announcement that it delivered 90,650 vehicles in the 2Q, beating the analyst’s expectations. Amazon hit yesterday an all-time high, Is Amazon A Buy At Record Highs?

European Markets Rally On Vaccine Hopes

European markets trade higher on hopes of a coronavirus vaccine. The Dax index is 1.89% higher at 12,491. The CAC 40 index is 1.60% higher at 5,006. In London, the FTSE 100 is 0.87% higher at 6,211. The UK Manufacturing Purchasing Managers’ Index (PMI) came in at 50.1 in line with forecasts and at the same level as the previous month.

Crude Oil Price Higher On Recovery Optimism

Crude oil trade also trades higher amid improved sentiment. WTI crude oil futures trade 1.36% higher at 40.22, while the Brent crude oil is 1.36% higher at $42.49.

In Forex, EURUSD pares some gains after the NFP report and as of writing is 0.27% higher at 1.1283. The British pound is 031% higher against the greenback.