Stock Futures Hold Gains After ADP Data
NEW YORK (TheStreet) -- Stock futures pointed to a higher open on Wall Street Wednesday even after a worse-than-expected jobs number in the U.S. as China's new leadership spoke of supportive measures for the Chinese economy.
Futures for the Dow Jones Industrial Average were rising 47 points, or 46.22 points above fair value, at 12,980. Futures for the S&P 500 were up 2.90 points, or 3.25 points above fair value, at 1408. Futures for the Nasdaq were up 2.25 points, or 2.06 points above fair value, at 2666.
In advance of China's central economic planning talks this month, the new Chinese Communist Party chief Xi Jinping said that more infrastructure investment, tax reform and giving the market a greater role in setting prices were among the top issues to address.
Major U.S. stock averages slumped Tuesday as eurozone troubles continued to fester amid a finance ministers meeting and signs of gridlock in the U.S. "fiscal cliff" talks."The rest of the year will be characterized as a gamble between those investors who believe there will be a (fiscal cliff) solution and those who believe there won't be a solution," said Jeffrey Sica, manager of SICA Wealth Management. "The overwhelming majority of investors will opt to 'sit out' the speculation, and wait for some clear direction. The market will temporarily be under the influence of short-term traders, cuing off small indications of a direction by analyzing every word spoken, and taking positions either as buyers or sellers. Until a compromise is reached, determining short-term market direction will be near impossible." Before the market open, Automatic Data Processing's employment change report showed an addition of 118,000 jobs in the U.S. in November, down from a downwardly revised 157,000 in October as Hurricane Sandy "wreaked havoc" on the job market in November, slicing an estimated 86,000 jobs from payrolls, the report said. Economists were expecting the addition of 125,000 jobs. The manufacturing, retailing, leisure and hospitality, and temporary help industries were hit particularly hard by the storm, according to the report. "Abstracting from the storm, the job market turned in a good performance during the month," said Mark Zandi, chief economist of Moody's Analytics in a press release. "This is especially impressive given the uncertainty created by the Presidential election and the fast-approaching fiscal cliff. Businesses appear to be holding firm on their hiring and firing decisions."
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV