The three major U.S. stock indexes opened mixed on the 8th (local time). Investors are waiting for direction as they await the employment report for December of last year, due on the 9th.
As of 10:55 a.m., the Dow Jones Industrial Average on the New York Stock Exchange rose 137.64 points, or 0.28%, to 49,133.72. The Standard & Poor's (S&P) 500 fell 7.82 points, or 0.11%, to 6,912.32, and the Nasdaq composite fell 177.47 points, or 0.75%, to 23,406.96.
The U.S. Labor Department released its preliminary estimate of unit labor expense in the nonfarm institutional sector for the third quarter of last year. The market expected the labor expense to increase 1% from the previous quarter, but the figure was shown to have declined 1.9% instead. The decline in labor expense appears due to a surge in labor productivity. Labor productivity rose 4.9%, the biggest increase since the third quarter of 2023.
Also released that day, the trade balance for October of last year hit the lowest level in about 16 years. The U.S. trade deficit during this period was $29.4 billion (about 42 trillion won). That was down 39% from $48.1 billion the previous month.
Still, the market is waiting for the employment report to be released the next day. The December employment report from last year is viewed as an indicator that could offer a glimpse into the Federal Reserve's rate path this year. However, with earlier indicators suggesting potential labor-market cooling, concerns are emerging about the report's readings.
Defense corporations are showing strength on Wall Street. Investor sentiment appears to be flocking after U.S. President Donald Trump said next year's defense budget should be increased to $1.5 trillion.
Lockheed Martin rose about 6% from the previous transaction day, while Northrop Grumman is up more than 3%.
Tech shares are somewhat weaker. Microsoft fell 1.22%, Nvidia 1.84%, and Meta 0.82%. Tesla is up 0.32% and Amazon 1.16%.
International oil prices are rising. West Texas Intermediate (WTI) for February delivery this year is up 1.73% from the previous session at $56.96 per barrel.