Dow and S&P 500 Futures Remain Flat Ahead of Payrolls Report, Nasdaq Boosted by Google

According to Yahoo News, futures for the Dow and S&P 500 indexes remained largely flat on Thursday, as investors awaited the monthly payrolls report due later this week. Meanwhile, Nasdaq futures experienced a boost due to a rise in Google shares. Equities have faced pressure in December following strong gains in November, as the Federal Reserve's interest rate hikes appeared to be slowing down due to easing inflation. The upcoming payrolls data will likely provide investors with insights into the Fed's interest rate trajectory and the potential for a 'soft landing' of the U.S. economy. At 5:20 a.m. ET, Dow e-minis were down 68 points, or 0.19%, S&P 500 e-minis were up 0.25 points, or 0.01%, and Nasdaq 100 e-minis were up 35.25 points, or 0.22%. Google-parent Alphabet's shares rose 2.8% in premarket trading following the release of its most advanced artificial intelligence model. Other megacap stocks showed mixed results. Weak private payrolls and job openings have reinforced expectations that the Fed's rate-hiking campaign is slowing the economy, potentially leading to interest rate cuts early next year. Traders have almost entirely priced in the likelihood of the Fed keeping interest rates unchanged at its meeting next week, with 61% betting on a rate cut as soon as March 2024, according to the CME Group's FedWatch tool. However, some analysts have cautioned that markets may be overly optimistic about rate cuts and emphasized the importance of the upcoming jobs report in determining the chances of a soft landing. The Labor Department's report is expected to show non-farm payrolls increased by 180,000 jobs last month after rising by 150,000 in October. Another report due on Thursday is anticipated to show initial jobless claims increased to 222,000 for the week ended Dec. 2 compared to 218,000 in the previous week.