Wall St ends with moderate gains ahead of jobs reports

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In the US, another broad-based buying effort sent stocks through key resistance levels. The S&P 500 finally settled at session highs after initial struggle around the 1085 zone.

In economic data, US weekly jobless claims fell by 6,000 to 472,000 for the week ended August 28. It is inline with analyst estimates at 475,000.

Nasdaq Composite was up 1.06% or 23.17 points at 2200.01. Dow Jones Industrial Average added 0.49% or 50.63 points at 10320.1. Standard & Poor's 500 gained 0.91% or 9.81 points at 1090.1.

Meanwhile, pending home sales for July provided participants with a positive surprise. They posted a 5.2% monthly increase, which contrasts with the call for no change.

That data overshadowed news that factory orders for July increased 0.1% instead of 0.3% as had been widely expected.

For today- the US August jobs reports is the key macro data that the market would be watching out for. The nonfarm payrolls is expected to drop 80,000 in August as compared to a 1.31 lakh decline in July. Turning to the household survey, the unemployment rate is seen a tad higher at 9.6% compared to 9.5% in July.

Meanwhile, the ISM non-manufacturing survey in August is seen at 53 compared to 54.3 mark in July. The rise in the new orders index is expected to lead to higher numbers this month.

In the currency space, the dollar slipped, as investors await the US monthly jobs report. Meanwhile, the euro found support around 1.28 level, on the back of healthy bond auctions and positive comments from Trichet.

 

In the commodity space crude climbed close to the USD 75 as hurricane earl threatened US. East coast refineries and a fire damaged an offshore oil and gas platform in the gulf of Mexico.

 

Copper rose, extending a rally to a four month high, as US housing and jobs data signaled an improving economy, easing concern that demand for the metal will ebb. Zinc, aluminum, lead and nickel also climbed on the LME, while tin fell.

 

Gold continues to hover close to the USD 1,250 mark ahead of the August jobs report later today.