Dow Jones futures advance with US jobs data and corporate earnings in focus

• Pressure on technology shares left futures for the Dow Jones, S&P 500 and Nasdaq trading in different directions.
• A strong ADP private payrolls report raised the prospect of a Federal Reserve interest rate increase in December.
• Major corporate results and the forthcoming weekly initial jobless claims release move into the market spotlight.

A 0.5% gain takes Dow Jones futures to around 53,770 in Thursday’s European trading. By contrast, S&P 500 futures slip 0.05% to around 7,720, while Nasdaq 100 futures fall 0.69% to approximately 28,360.

Continued selling pressure on technology shares left US equity futures mixed. Following the Democrats’ decisive US midterm election victory, concerns about potentially stringent data centre regulations weighed on the sector and encouraged investors to shift capital into other parts of the market. Oil prices also fell sharply after the Democratic sweep, as investors hoped for a resolution to the continuing conflict in the Middle East.

An October increase of 86,000 in US private-sector employment, reported by ADP, exceeded the forecast of 69,000 despite a modest downward revision to September’s figures. The release helped clarify conditions in the domestic labour market, while the ISM Services PMI offered further insight into the services sector. At 54.5, the PMI was marginally below expectations but continued to signal steady growth. Against this economic backdrop, financial markets increasingly expect monetary policy to tighten: the CME FedWatch Tool puts the probability of a December Federal Reserve rate rise at nearly 82%.

Consumer discretionary, financial and property shares led sizeable gains across the main US indices in Wednesday’s regular session, with energy and industrial stocks trailing. A rise of 1,569 points, or 3.03%, took the Dow Jones Industrial Average to a two-month high. The S&P 500 gained 1.58%, while the Nasdaq Composite rose 1.44%. Attention now turns to earnings releases from companies including ConocoPhillips, Kimberly-Clark and Airbnb. Investors are also watching forthcoming labour market figures, with initial jobless claims due on Thursday and the nonfarm payrolls report on Friday.

Shares climb as US midterm uncertainty fades and bond yields fall

With the “2026 midterms” already influencing market behaviour, Deutsche Bank strategists say the familiar pattern surrounding US elections is playing out again. Their observation that “yesterday the S&P 500 (+1.58%) posted its best day in three months, whilst bond yields fell sharply around the world,” highlights the support for risk appetite from receding political uncertainty and the recent series of strong US economic releases.