Investing.com – U.S. stock futures rose in after-hours trading Sunday following a strong session on Wall Street after weaker-than-expected labor data prompted investors to raise bets on a September rate cut.
Some strong earnings also helped sentiment, especially at iPhone maker Apple Inc (NASDAQ:), which posted smaller-than-expected declines in revenue and profit.
First-quarter earnings season continues this week, while a number of key Federal Reserve officials are also scheduled to speak, with the latter offering more interest rate signals.
rose 0.2% to 5,162.25 and was up 0.1% at 18,019.75 by 7:18 pm ET (2318 GMT). increased by 0.2% to 38,897.0 points.
Bets for September rate cut rise after wages data
Softer-than-expected data released Friday raised hopes that the labor market is cooling in line with Federal Reserve expectations, preparing the bank for a possible rate cut this year.
Traders are betting that the bank will start cutting rates as early as September, but still keep the likelihood of such a scenario at only 44%.
While the labor market may be showing some signs of cooling, inflation still remains well above the Fed’s annual 2% target and could delay any plans for the central bank to cut rates.
This week will focus on speeches from multiple Fed members to get more information on interest rates. FOMC members are set to speak later on Monday.
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Williams warned last week that the Fed’s 2% annual inflation target remains critical.
Wall Street Reels From April Loss, Profits Expected to Increase
On Friday, the index rose 1.3% to 5,127.79 points. The index rose nearly 2% to 16,156.33, while the index rose 1.2% to 38,675.68.
While Wall Street had a strong start to May, it still suffered big losses through April, overwhelmed by the prospect of US rates remaining high for a long time. Even with Friday’s weak jobs data, investors were still looking for more signs that the U.S. economy is cooling.
Earnings season will continue this week, which will also serve as an additional signal for Wall Street. Uber Technologies Inc. (NYSE:) and Walt Disney The company (NYSE:) is one of the largest large-cap companies.