July 8, 2016 / 1:02 PM / 2 years ago

US STOCKS-Strong jobs data set to boost Wall Street

* 287,000 jobs added in June vs est 175,000

* June unemployment up 4.9 pct vs est 4.8 pct

* Futures up: Dow 102 pts, S&P 13 pts, Nasdaq 17.75 pts (Adds details, comments, updates prices)

By Yashaswini Swamynathan

July 8 (Reuters) - Wall Street was set to open higher on Friday as strong monthly jobs data assuaged concerns about the health of the labor market.

Data showed that 287,000 jobs were added in the public and private sectors in June, compared with the 175,000 expected by economists.

The data confirms the sentiment that the dismal May report was an aberration and not indicative of weakness in the labor market. The payroll count for May was revised down to 11,000 from the previously reported 38,000.

Unemployment in June rose to 4.9 percent, compared with the estimate of 4.8 percent. A reading below 5 percent indicates full employment.

“That was a blowout number. It shows the U.S. economy was on pretty firm footing going into the Brexit vote,” said Brian Jacobsen, chief portfolio strategist, Wells Fargo Funds Management, Menomonee Falls, Wisconsin.

The data is likely to feed into the U.S. Federal Reserve’s plans on interest rate hikes this year. But traders do not expect the central bank to move anytime soon as it gauges the impact of Britain’s vote to leave the European Union.

The Fed next meets on July 26-27.

Dow e-minis were up 102 points, or 0.57 percent at 8:33 a.m. ET (1233 GMT), with 26,985 contracts changing hands, S&P 500 e-minis 13 points, or 0.62 percent, with 213,320 contracts traded and Nasdaq 100 e-minis 17.75 points, or 0.4 percent, on volume of 33,385 contracts.

The S&P 500 and the Dow closed lower on Thursday weighed by energy shares, while a rise in Costco and tech stocks helped the Nasdaq book small gains.

Oil struggled to claw back some of its sharp losses on Thursday, and were set to end down more than 7 percent for the week.

Polycom’s shares were up 13.2 percent after the company agreed to be bought by a private equity firm for $1.7 billion, ending a takeover deal with Mitel. Mitel jumped 21.6 percent to $7.32.

Gun makers Smith & Wesson and Sturm Ruger rose about 4 percent on expectations of higher gun sales due to fears of potential gun control policies following the worst mass shooting of police in U.S. history.

Juno dropped 26.35 percent to $30.06 after the drug developer’s cancer study was halted following the death of three patients. (Reporting by Yashaswini Swamynathan in Bengaluru; Editing by Savio D’Souza and Saumyadeb Chakrabarty)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below