U.S. Stock Futures Up After Record; Gasoline Jumps: Markets Wrap

(Bloomberg) -- U.S. equity futures edged up and Asian stocks were set for a steady start after the S&P 500 hit a record on weak jobs data that added to the case for ongoing stimulus. Gasoline and oil rose after a pipeline was closed.

Nasdaq 100 contracts outperformed though the gains were limited. Stock futures were modestly higher in Japan, dipped in Australia and climbed in Hong Kong. Gasoline jumped as much as 4.2% before paring gains, with the country’s top pipeline operator Colonial Pipeline providing no timeline for a restart following a shutdown late Friday due to a ransomware attack.

The dollar traded in tight ranges against some major peers after tumbling on Friday. The pound was the top performer among the Group of 10 currencies.

The energy price surge is adding to the inflation debate ahead of a U.S. CPI report this week which is forecast to show prices continued to increase in April. Investors will also parse appearances by a parade of Federal Reserve policy makers as they try to gauge the central bank’s thinking.

U.S. jobs rose by 266,000 in April, trailing the projected 1 million jump, and suggesting the Fed will stick to its accommodative stance. Treasury Secretary Janet Yellen said the report “underscores the long-haul climb back to recovery,” while retaining her expectations of a return to full employment next year.

Despite the weak employment report, “the U.S. recovery still remains intact and Wall Street should still expect growth exceptionalism over the coming months, which in the end should lead to much higher Treasury yields,” Edward Moya, senior market analyst at Oanda, said in a note.

Here are some key events to watch this week:

• Chicago Fed President Charles Evans discusses the economic outlook at a virtual event Monday
• U.S. Fed Governor Lael Brainard takes part in a Q&A. San Francisco Fed President Mary Daly and New York Fed President John Williams also speak Tuesday
• OPEC monthly Oil Market Report is published with global demand forecasts and production estimates Tuesday
• Fed Vice Chair Richard Clarida gives a virtual speech Wednesday
• U.S. CPI report is forecast to show prices continued to increase in April, likely fueling further debate about the path of inflation. Out Wednesday
• St. Louis Fed President James Bullard discusses the U.S. economic and policy outlook during a virtual event Thursday
• Dallas Fed President Robert Kaplan takes part in a moderated discussion Friday

These are some of the main moves in markets:

Stocks

• S&P 500 futures rose 0.1% as of 7:36 a.m. in Tokyo. The S&P 500 rose 0.7%
• Nasdaq 100 futures rose 0.2%. The Nasdaq 100 rose 0.8%
• Nikkei 225 futures were added about 0.2%
• Australia’s S&P/ASX 200 Index futures dipped 0.1%
• Hang Seng Index futures rose 0.4% earlier

Currencies

• The Japanese yen was at 108.58 per dollar
• The offshore yuan traded at 6.4189 per dollar
• The Bloomberg Dollar Spot Index was steady after falling 0.7% Friday
• The euro was at $1.2163
• The pound rose 0.3% to $1.4027

Bonds

• The yield on 10-year Treasuries was at 1.58% Friday
• Australia’s 10-year bond yield rose more than one basis point to 1.70%

Commodities

• West Texas Intermediate crude rose 0.7% to $65.33 a barrel
• Gold rose 0.1% to $1,832.35 an ounce
• Gasoline futures rose 1.7%

©2021 Bloomberg L.P.