Monday November 2nd

2-11-2015

Wall Street looks to jobs report after stellar October

U.S. stock index futures pointed to a higher open on Monday, the first trading day in November ahead of a data packed week, with the all-important jobs report on Friday in focus. Traders will look to non-farm payrolls for hints on the direction and timing of monetary policy. Before that, construction spending data and the ISM index are both due Monday at 10:00 a.m. ET. Earnings season is still underway, with Visa, Estee Lauder and Clorox, among other, reporting before the bell. AIG, Allstate, Avis Budget, Fitbit, AMC Entertainment, Axovant Sciences, Pioneer Natural Resources, General Growth are all due after the bell. Stocks kick off November on Monday after the best monthly gain in four years. The S&P 500 ended October at 2,079 points, gaining 8.3 percent for the month, but just 0.2 percent for the past week. That was its best month since a 10.7 percent gain in October, 2011. In Europe, stocks were mostly higher as investors digested key bank earnings from HSBC and Commerzbank. HSBC's third-quarter earnings showed that pre-tax profit rose to $6.1 billion, up 32 percent from the same period a year ago and higher than expectations of analysts polled by Reuters. Meanwhile, shares of Commerzbank were trading as much as 6 percent higher after the bank reported better-than expected third-quarter earnings. Commerzbank beat analysts' expectations for pretax profit as the lender's retail bank thrived, provisions for bad loans decreased and its run-down portfolio of unwanted assets broke even. Asian stocks fell across the board on Monday, as investors digested a private survey which showed China's mammoth manufacturing sector remaining in a tough spot, though the pace of decline in factory activity slowed in October. Share markets in China headed further south in the afternoon trading session, with the key Shanghai Composite index finishing 1.7 percent lower. Nikkei skids 2.1%. Japan's Nikkei 225 index slid below the 19,000 mark to settle at a one-and-a-half-week trough. Oil prices fell on Monday as weak Chinese economic data fueled concerns about demand slowing in one of the world's largest oil-consuming nations, while record-high production in Russia exacerbated the global supply glut. Brent crude futures, the global benchmark, traded down 55 cents, or 1.1 percent, at $49.01 a barrel at 9 a.m. EDT (1300 GMT). U.S. crude futures were trading at $45.96 a barrel, down 63 cents, or 1.35 percent, on Friday's close. Gold hit a four-week low on Monday, extending a sell-off into a fourth straight session as technical signals deteriorated and investors fretted that the Federal Reserve would raise U.S. interest rates this year. The metal failed to benefit from a fall in the dollar after downbeat Chinese factory surveys lent support to safe-haven currencies such as the yen. Spot gold fell to $1,134.60 an ounce, its lowest since Oct. 5 in earlier trade, and was down 0.5 percent at $1,136. It fell nearly 2 percent last week, its worst weekly performance in nine weeks.