Dow Futures Rise, Wall Street Rebounds — and What Else Is Happening in the Stock Market Today

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The Wall Street subway station near the New York Stock Exchange.

AFP via Getty Images

Stock futures were rising Monday as Wall Street looked poised to rebound from another week of losses, the latest triggered by a stronger-than-expected U.S. jobs report.

Contracts linked to the Dow Jones Industrial Average gained 292 points, or 0.9%, to 33,178, S&P 500 futures were up 1.1% and Nasdaq futures gained 1.4% .

Stocks fell Friday and ended the week lower after the U.S. added more jobs than expected in May, suggesting the Federal Reserve may have to remain aggressive with its plans for interest rate hikes. The S&P 500 has declined for eight of the last nine weeks.

“The labor market is tight and job growth is stable. Therefore, the Federal Reserve can continue to tighten financial conditions and remove the historic level of accommodation in the markets,” said Jeffrey Roach, chief economist at LPL Financial.

The U.S. central bank has been boosting interest rates in an effort to tame historically high inflation and is expected to hikes rates by 0.5% at its meetings in June and July. What it will do in September is less of a certainty, but the jobs report on Friday didn’t do much to change the opinions of those on Wall Street who believe the Fed still has work to do to cool an overheating economy.

The U.S. added 390,000 jobs in May, above expectations for 328,000. The unemployment rate remained at 3.6%.

The next data point for investors will be the consumer price index, scheduled for release on Friday. Economists surveyed by FactSet expect consumer prices to have risen in May by 8.2% year over year, with the core reading at 5.9%, a tick lower from April’s pace.

Stocks in Asia, meanwhile, rose Monday after Beijing announced a further lifting of Covid restrictions over the weekend.

Here are some stocks on the move Monday:

Apple (ticker: AAPL) will kick off its Worldwide Developers Conference on Monday, with high expectations for the tech giant’s next generation operating system, a new Apple Watch, and possibly a glimpse at a headset for virtual and artificial reality. The stock was rising 1.4% in premarket trading. It has declined 18.1% this year.

Amazon.com (AMZN) will begin trading Monday at $122, as a 20-for-1 stock split, is implemented. In premarket trading, the shares were rising 1% to $123.64.

Write to Joe Woelfel at joseph.woelfel@barrons.com