Stock Futures Step Back Ahead of US Jobs Report

New York (Dec 2)  Stock futures were lower on Friday ahead of the before-the-bell release of the November jobs report. S&P 500 futures were down 0.29%, Dow Jones Industrial Average futures slid 0.17%, and Nasdaq futures fell 0.5%.

The Dow scored a new record close on Thursday as banking and energy stocks gave the blue-chip index a boost. A tech selloff pulled the S&P 500 and Nasdaq lower.

The U.S. jobs report for November, one of the most closely watched pieces of data of the month, will be under an even more intense spotlight on Friday as investors look for confirmation the Federal Reserve will pull the trigger on interest rates at their December meeting. Economists surveyed by FactSet anticipate 174,000 jobs were added to the U.S. economy in November and for the unemployment rate to hold at 4.9%.

The U.S. economy added 161,000 jobs in October, 10,000 short of estimates but generally showcasing robust workforce trends. Average hourly earnings also rose to their highest since July, while year-over-year earnings increased to their best since 2009.

Crude oil prices headed lower after a two-day rally. Crude had rocketed to six-week highs on Thursday as traders cheered a production freeze agreement among major oil-producing nations. The Organization of Petroleum Exporting Countries reached a deal on Wednesday to trim production by 1.2 million barrels a day, its first cut since 2008.

West Texas Intermediate crude was down 1% to $50.54 a barrel on Friday morning.

Starbucks (SBUX) slumped in premarket trading after CEO Howard Schultz announced his departure. Schultz will resign from his position, effective April 3, and will join the board as executive chairman to focus on big-picture initiatives. Chief Operating Officer Kevin Johnson will assume the CEO position come April.

Source: TheStreet