Stocks Rise Pre-Bell Ahead of Key Jobs Report; Investors Assess Iran's Hormuz Draft Plan
The benchmark US stock measures were tracking in the green before the open Friday as traders await a key employment report for July and assess media reports on Iran's restrictive draft plan for the Strait of Hormuz.The S&P 500 rose 0.2%, the Nasdaq increased 0.5% and the Dow Jones Industrial Average edged up in premarket activity. The indexes finished the previous trading session lower, with the Dow snapping a three-day streak of record closing highs.The nonfarm payrolls report for last month is scheduled to be released at 8:30 am ET. Government data is expected to show that the US economy added 80,000 jobs in July, compared with a 57,000 gain reported for the month prior, according to a Bloomberg poll.Job cuts hit a two-year low in July even as downsizing in the tech sector continued, outplacement firm Challenger Gray & Christmas said Thursday. Earlier in the week, ADP (ADP) data showed that private-sector employment in the US increased less than expected last month as gains were concentrated in services.Treasury yields were down in premarket action, with the two-year rate retreating 1.2 basis points to 4.23% and the 10-year rate off 0.8 basis points to 4.66%.Iranian state news agency Fars published on Thursday Iran's initial draft proposal for a potential deal over the Strait of Hormuz under which US and Israeli ships would be barred from transiting the key waterway, CNBC reported. The plan is reportedly under review by an Iranian parliamentary committee.Iranian Deputy Foreign Minister Kazem Gharibabadi earlier in the week said that an "understanding" between Iran and Oman regarding the Strait of Hormuz is close to being finalized. The proposed Iran-Oman agreement would not automatically reopen the strait, Gharibabadi told the state-run Islamic Republic News Agency, according to CNN.West Texas Intermediate crude oil nudged 0.1% lower to $77.27 a barrel before the opening bell, while Brent dipped 0.2% to $82.29.Shares of Cloudflare (NET) jumped 17% pre-bell as the cloud company lifted its full-year outlook following better-than-expected second-quarter results. Airbnb (ABNB) advanced 8.1% after the vacation rental company's second-quarter results topped Wall Street's estimates amid strong demand fueled by the FIFA World Cup.Vistra (VST), Take-Two Interactive Software (TTWO), Oklo (OKLO), Fluor (FLR), Under Armour (UAA, UA), Spectrum Brands (SPB) and Wendy's (WEN) report their latest financial results before the bell, among others.Friday's economic calendar also has the weekly Baker Hughes oil-and-gas rig count at 1 pm. Federal Reserve Bank of Richmond President Thomas Barkin is scheduled to speak at 10 am.Gold advanced 1.7% to $4,374 per troy ounce, while bitcoin gained 0.8% to $64,793.
