Stock market futures edged higher on August 7, 2026, as Wall Street braced for the release of July’s jobs report, a closely watched economic indicator that will help shape the Federal Reserve’s interest rate outlook.
S&P 500 futures climbed 0.16%, Nasdaq 100 futures gained 0.45%, and Dow Jones futures rose 0.05% in early trading, according to the Wall Street Journal. The cautious advance came after the previous session’s losses, when the Dow fell more than 450 points to end a five-day winning streak, as rising oil prices weighed on stocks.
The Labor Department released July employment data at 8:30 a.m. ET. Economists expected the report to show the U.S. economy added 83,000 jobs in July, up from the 57,000 added in June but slightly below the 92,000 average in the first half of the year. The unemployment rate was forecast to hold steady at 4.2%.
This month’s jobs report held particular significance for investors and policymakers. Traders were roughly divided on the Fed’s next move, with CME Group data showing a 55% probability assigned to a quarter-point rate hike when the central bank convenes next month, according to the Wall Street Journal. The employment figures would provide crucial clues about the health of the labor market and inflation pressures—key factors in the Fed’s decision-making process.
Despite the previous day’s pullback, market sentiment had brightened in recent days. Tom Lee, head of research at Fundstrat Global Advisors, told CNBC he expected the S&P 500 to reach 7,900 to 8,000 this month, citing a “chase” higher following the recent reset in the market. Semiconductor stocks rallied this week after last month’s momentum-trade unwinding, and strong earnings reports bolstered confidence.
Wall Street also kept an eye on geopolitical developments affecting oil markets. Iran published a restrictive draft plan for the Strait of Hormuz, raising supply concerns, but investors remained hopeful that a deal to reopen the critical waterway could eventually bring down oil prices and ease inflation expectations.
Sources
- Wall Street Journal — Stock futures movement, July jobs report expectations (83,000 jobs, 4.2% unemployment), Fed rate hike probability (55%), and timing of the jobs report release
- CNBC — S&P 500 futures and Nasdaq futures movements, Dow Jones losing session and five-day winning streak end, Tom Lee’s S&P 500 forecast, semiconductor rally, earnings optimism, and Iran-Hormuz geopolitical context
- Investopedia — Confirmation of Dow’s 450+ point decline and five-session winning streak end
