August Private Payrolls Growth Less Than Expected as US Equity Futures Turn Mostly Lower Pre-Bell

MT Newswires Live09-05

US equity futures were mostly lower ahead of Thursday's opening bell as traders digested a raft of economic data.

Dow Jones Industrial Average futures flatlined, S&P 500 futures slipped 0.1%, and Nasdaq futures were down 0.4%.

Oil prices were higher, with front-month global benchmark North Sea Brent crude up 0.8% at $73.31 per barrel and US West Texas Intermediate crude up 0.8% at $69.80 per barrel.

Private payrolls based on ADP Institute's employment report, released at 8:15 am ET, rose by 99,000 in August following a 111,000 rise in July, compared with estimates compiled by Bloomberg for a 145,000 growth.

New unemployment claims, released at 8:30 am ET, fell to 227,000 in the week ended Aug. 31 from 232,000 in the preceding week versus estimates for a smaller drop to 230,000 claims. Q2 nonfarm productivity was upwardly revised to a 2.5% growth rate, in line with expectations, from 2.3% in the preliminary report.

The Institute for Supply Management's services purchasing managers' index, due at 10 am ET, is seen stepping back to 51.3 for August from 51.4 in July.

In other world markets, Japan's Nikkei closed 1.1% lower, Hong Kong's Hang Seng ended 0.07% lower, and China's Shanghai Composite finished 0.1% higher. Meanwhile, UK's FTSE 100 slipped 0.2%, and Germany's DAX index gained 0.1% in Europe's early afternoon session.

In equities, shares of Eastside Distilling (EAST) were more than 250% higher pre-bell after the company agreed to merge with Beeline Financial. Modular Medical (MODD) shares advanced 20% after the company secured US Food and Drug Administration approval for its MODD1 insulin pump.

On the losing side, Verint Systems (VRNT) shares slid 14% after the company late Wednesday reported fiscal Q2 non-GAAP earnings and revenue that trailed Capital IQ analyst estimates.

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