(Reuters) – U.S. stock index futures fell on Friday ahead of data expected to show solid jobs growth in February, with deepening fears over the war in Ukraine putting the main indexes on track for weekly declines.
Equities globally were weaker and safe-havens in demand after news of a fire near Europe’s largest nuclear plant in Ukraine following fighting with Russian forces sparked fears of a potential disaster. The fire was later extinguished. [MKTS/GLOB]
Focus will be on the Labor Department’s closely watched employment report at 0830 am ET, which is expected to show that labor market conditions tightened further in February and a shortage of workers continued to drive up wages.
Federal Reserve Chair Jerome Powell said this week he would support a 25-basis-point interest rate increase at the central bank’s March 15-16 policy meeting and would be “prepared to move more aggressively” later if inflation does not abate as fast as expected.
Richly valued growth stocks have faced the brunt of the selloff so far this week, with the S&P 500 growth index down 0.8%. Its value counterpart has recorded just a 0.2% fall, thanks to support from soaring energy shares.
The S&P 500 energy sector has gained 6.2% for the week on the back of a crude price surge sparked by powerful Western sanctions against Russia, a major crude producer.
At 7:06 a.m. ET, Dow e-minis were down 280 points, or 0.83%, S&P 500 e-minis were down 34 points, or 0.78%, and Nasdaq 100 e-minis were down 93 points, or 0.66%.
The tech-heavy Nasdaq was down over 1% for the week, the most among the three main indexes, while the blue-chip Dow eyed its fourth straight weekly fall.
Energy stocks and defense companies including Lockheed Martin Corp were mixed in premarket trading, while Citigroup and Apple Inc slipped 1.6% and 0.9%, respectively, to lead losses among the big banks and mega-cap growth names.
Gap Inc jumped 7.6% after the apparel retailer forecast upbeat 2022 earnings, betting on demand for its Old Navy and Athleta clothing brands as Americans return to offices and social events.
(Reporting by Devik Jain in Bengaluru; Editing by Aditya Soni)
