US stocks rose on Thursday as softer labour market data reinforced bets that the Federal Reserve will cut rates this month. The S&P 500 climbed 0.4%, the Dow Jones Industrial Average gained the same amount, and the Nasdaq Composite advanced just over 0.3%.
Private payrolls grew by 54,000 in August, well below forecasts for 65,000, while weekly jobless claims hit their highest level since June. An ISM survey showed stronger services activity but also signalled hiring weakness for a third straight month. Traders now see a 97% chance of a September cut, up from 92% before the jobs data.
Attention turns to Friday’s non-farm payrolls report, which could strengthen the case for deeper easing. In Washington, Trump’s bid to reshape the Fed drew scrutiny as his nominee Stephen Miran faced Senate questions on independence.
On the corporate side, Salesforce dropped after its revenue forecast disappointed, while American Eagle soared on upbeat sales projections tied to celebrity campaigns. Earnings are due from Broadcom, Lululemon and DocuSign later.
In London, the FTSE 100 added 0.4% to close at 9,216.87 as easing bond yields supported insurers and asset managers. Next and Tesco also climbed, while Admiral fell after going ex-dividend. The FTSE 250 gained 0.8%, with Currys surging 17% after reporting sales growth, a favourable pension review and a £50 million buyback.
Elsewhere, Genus jumped 10% on stronger earnings and an upbeat outlook, while Jet2 tumbled 13% after cutting winter seat capacity and warning on profits. UK construction data showed contraction for an eighth month, though August’s PMI reading improved slightly from July’s five-year low.