US EARLY MORNING: US equity futures are lower ahead of today's jobs report

Asia-Pac stocks took impetus from the gains on Wall St in holiday-thinned trade; European shares have started on the front foot, although liquidity is thin given that UK players are away. US equity futures are lower (YM -0.1%, ES -0.2%, RTY -0.3%, NQ -0.5%). The jobs report is the key data highlight for the day, we have a link to our preview below; wages are once again the key measure to watch given they will influence the debate on inflation, while the headline is expected to continue easing, as seen in the ADP data earlier this week. US President Biden will be commenting on the report in wake of the data (10:30EDT/15:30BST); the desk reminds that Biden often frames his remarks for a retail audience, not traders, and as such he is likely to talk-up the continued progress being made in the jobs market, potentially highlighting any declines in the unemployment rate. Fed's Vice Chair Brainard will be speaking around the same time; in Thursday remarks, she seemingly dismissed the notion that the Fed could pause its normalisation in September following 50bps rate rises in June and July, but suggested that she was still undecided on September, and the Fed would take into account incoming data while making its assessment. NOTE: The Fed goes into its pre-meeting blackout window after today, while the ECB is currently in its blackout window ahead of next week's confab. Elsewhere today, May's Services ISM data will be eyed to see if there is surprise improvement as seen in the manufacturing equivalent earlier this week. Full Day ahead calendar can be accessed here.

US JOBS REPORT PREVIEW (FRIDAY 08:30EDT/13:30BST) - Headline measures of payroll additions are expected to continue moderating in May. The jobless rate likely fell back to pre-pandemic levels, while the participation rate may inch upwards, which would be an encouraging development. However, the focus will be on wages to see how employment compensation is faring amid surging consumer prices; the expectation is that the annual rates of pay growth eased, but the monthly rate may pick-up relative to April’s levels. The May jobs data may only have a limited impact on near-term Fed policy, given that the central bank is widely expected to lift rates by 50bps in both June and July, but any signs of moderation in wages may support the argument that the Fed could slow the increments of rate rises in September. Full Newsquawk preview here.

EQUITY NEWS:

03 Jun 2022 - 09:27- EquitiesData- Source: Newsquawk

USDFederal ReserveRNMBY.USKohl's CorpWagesLael BrainardJetBlue Airways CorpPresidentRheinmetall AGUnited StatesGPN.USALK.USCHGG.USC.USCOO.USCOST.USCRH.USIBDRY.USKSS.USFINMY.USLULU.USFB.USNOC.USRH.USSAVE.USJBLU.USTSLA.USDataGlobal Payments IncGPNSenior PLCIberdrola SANew York & Co IncDistributorsInflationlululemon athletica incLULUNorthrop Grumman CorpNOCSpirit Airlines IncBeiersdorf AGCOSTCRH PLCCrowdStrike Holdings IncCRWDCommodity Futures Trading CommissionDAX 40 IndexECBTSLAAI FPBitcoinESCentral BankAlaska Air Group IncAAPLInstitute for Supply ManagementChegg IncCitigroup IncCCOOCostco Wholesale CorpEquitiesS&P 500 IndexAsian SessionHighlightedResearch SheetChinaUnited Kingdom

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