Stocks Churn Before Before Jobs Data as Oil Rises: Markets Wrap

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August 6, 2026 - 17:01

4 minutes

(Bloomberg) — Wall Street traders refrained from making big bets on stocks in the run-up to Friday’s jobs report, with higher oil prices adding to concerns about inflation and lifting bond yields.While the S&P 500 remained near its record highs, the gauge wavered. Alphabet Inc. is looking to raise as much as $25 billion from its latest US investment-grade bond offering, a deal that will test investor appetite for AI-related debt following a July selloff. High flying memory firms Sandisk Corp. and Western Digital Corp. sank. SpaceX climbed after a post-earnings rout.In a volatile session, Brent crude topped $81 as the path toward a Iran-Oman deal to partially reopen the Strait of Hormuz appeared less straightforward, with the US position still unclear. Higher energy costs have fueled worries about price pressures that could prompt the Federal Reserve to raise rates before the year is over.Employers in the US likely stepped up their pace of hiring in July, showing a steady appetite for workers despite the overhang of elevated inflation. Economists estimate the monthly jobs report on Friday will show an 80,000 increase in payrolls after the lower-than-expected 57,000 gain in June.“Friday’s jobs report is of greater importance for markets given how fast this stock market has rallied over the past week, and ultimately we will need to see a number that is not too hot and not too cold in order for the market to keep grinding higher,” said Clark Bellin at Bellwether Wealth.The latest round of employment data continued to reflect the labor market’s resilience, reinforcing the assumption that realized inflation will drive the Fed decision next month, according to Vail Hartman at BMO Capital Markets.Applications for unemployment benefits were little changed, remaining below 200,000 for a third straight week. A separate report showed labor productivity accelerated at a faster-than-expected pace in the second quarter as employers sought to mitigate higher costs.Fed officials, investors and economists have been looking for signs that the billions of dollars in spending on artificial intelligence are making workers more productive. However, it will take time to see a clear trend in the official data, which can be volatile from quarter to quarter.“The labor market is holding up well in the face of elevated interest rates and AI productivity gains,” Bellin noted. “We are still seeing plenty of companies hold onto their labor force even as AI investments take hold.”Corporate Highlights:DoorDash Inc. issued a profit forecast that topped analysts’ expectations, citing a boom in paying subscribers who tend to order takeout and groceries more frequently than non-members. Hertz Global Holdings Inc. beat Wall Street’s earnings estimates, a boost for the struggling rental car company following an unusual debt-raise maneuver and a warning of weakness in the used-vehicle market. Honeywell Aerospace Inc.’s unexpected reduction in its outlook startled investors just weeks after the supplier began operating as an independent company. Peloton Interactive Inc. gave a revenue forecast for the fiscal 2027 year that disappointed investors, marking the latest setback for the fitness technology company. Fiserv Inc. slashed its full-year profit outlook, sending shares slumping as analysts called the revised forecast a “disappointing outcome.” Some of the main moves in markets:StocksThe S&P 500 rose 0.1% as of 11 a.m. New York time The Nasdaq 100 rose 0.2% The Dow Jones Industrial Average fell 0.3% The Stoxx Europe 600 rose 0.4% The MSCI World Index rose 0.1% CurrenciesThe Bloomberg Dollar Spot Index was little changed The euro fell 0.2% to $1.1535 The British pound was little changed at $1.3466 The Japanese yen fell 0.3% to 158.21 per dollar CryptocurrenciesBitcoin fell 0.1% to $64,716.96 Ether fell 0.1% to $1,913.45 BondsThe yield on 10-year Treasuries advanced three basis points to 4.65% Germany’s 10-year yield was little changed at 3.12% Britain’s 10-year yield advanced three basis points to 4.92% CommoditiesWest Texas Intermediate crude rose 1.8% to $76.59 a barrel Spot gold rose 0.6% to $4,272.97 an ounce ©2026 Bloomberg L.P.