US futures rise as focus shifts to labor market by Investing.com

U.S. stock futures opened modestly up 0.1 percent, while they climbed 0.3 percent.

It remained relatively unchanged, as did . Meanwhile, the 10-year Treasury yield was at 3.903% at 18:05 EST (22:05 GMT).

The focus is changing on the labor market

Investors are turning their attention to a crucial week for US markets, with high expectations for upcoming labor market data. The previous month’s jobs report missed expectations, prompting a sell-off in risk assets that began with the previous day’s disappointing ISM Manufacturing PMI.

The weak labor figures have prompted debate as to their cause, with Hurricane Beryl a significant factor. Despite the fact that the Bureau of Labor Statistics (BLS) said that the hurricane, which hit Texas during the survey week of the July employment report, had “no discernible effect” on the employment data, the survey in households revealed a different impact.

It indicated that 436,000 people were unable to work due to adverse weather conditions, marking a record for July. In addition, 249,000 people were reported to be temporarily laid off during the same period.

The increase in unemployment was largely attributed to these temporary layoffs. Market participants are keen to determine whether the July data was indeed influenced by such transitory factors.

The Federal Reserve, which is closely monitoring the labor market, will use this upcoming report to decide on the extent of the interest rate cut at their next meeting, with the options being either a 25 basis point (bps) cut or a 50 basis point (bps) cut. basic points.