Asian stocks were poised to open higher after softer US jobs data eased pressure on the Federal Reserve to keep raising interest rates. Brent crude rose as Yemen launched a bid to recapture Houthi-controlled areas. Equity-index futures for Japan, South Korea and Taiwan pointed to gains.
Futures for the Nasdaq 100 rose 0.2% after the underlying contract closed a record high on Friday, while the S&P 500 contract edged higher in early Asian trading. Brent for December delivery rose above $103 a barrel early on Monday after that contract gained almost 5% last week. Prices rallied even after major OPEC+ nations agreed to keep oil production quotas unchanged next month.
The likely stock rally builds on gains on Wall Street on Friday after a report showed US employers added fewer jobs in September than economists forecast and wage growth slowed. US nonfarm payrolls increased 29,000 last month after a downward revision to the prior two months. The unemployment rate rose to 4.2%.
“Not too hot, not too cold Goldilocks jobs data for September add to expectations that the Fed won’t rush into another rate hike this month,” Shane Oliver, chief economist at AMP Ltd., wrote in a note. This week’s auctions of 10- and 30-year Treasuries will test investor demand for longer-maturity bonds.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing