- U.S. stock futures were up slightly on Friday.
- Traders are keeping an eye on the March nonfarm payrolls report, which will be released at 8:30 a.m. ET.
- The latest employment data could help shape the Federal Reserve’s stance on interest rates.
Stocks were expected to rise at the opening bell on Friday as investors awaited key jobs data that could affect the Federal Reserve’s interest rate stance.
S&P 500 futures and Nasdaq 100 futures rose 0.3% shortly after 5 a.m. ET, on track to reverse some of their losses after plunging on Thursday.
Meanwhile, Brent crude prices have held steady above $90 a barrel, breaking above that level for the first time since October on Thursday after members of the OPEC+ cartel said they would not change supply levels.
March nonfarm payrolls, released at 8:30 a.m. ET, will likely drive the market that day.
Economists polled by Reuters expect jobs to rise by 200,000 last month, down from 275,000 in February. It also expects the unemployment rate to remain stable at 3.9%.
Any signs of weakness in the U.S. labor market could give the Fed more cause to cut interest rates, boosting the market. It remains uncertain whether the central bank will start reducing borrowing costs in June, according to the CME FedWatch tool.
“The jobs report later today will provide a clearer picture of the Fed’s thinking,” said Russ Mould, investment director at AJ Bell. “We’re going to be looking for a Goldilocks scenario where non-farm payrolls and unemployment numbers need to be at just the right temperature.”
“If the jobs report is too hot, the Fed could feel pressured to keep interest rates where they are, which could spook markets. If it’s too cold, the market could risk a hard landing for the economy,” he said. “I would be concerned,” he added.
