Financial markets are set to focus on key U.S. labor market data and corporate earnings from several technology companies during the holiday-shortened trading week beginning September 1. The economic reports are anticipated for their potential influence on the Federal Reserve’s upcoming interest rate decisions, while earnings from firms including Salesforce and Broadcom will provide further insight into the artificial intelligence sector.
The primary economic release will be the August nonfarm payroll report, scheduled for Friday morning. According to a Dow Jones poll of economists, the U.S. economy is expected to have added 75,000 jobs last month, with the unemployment rate projected to increase to 4.3% from 4.2% in July.
Several other labor market indicators are also due. The Job Openings and Labor Turnover Survey (JOLTS) will be released on Wednesday. On Thursday, payroll processor ADP is scheduled to release its monthly private employment report, followed by the latest weekly initial jobless claims data. Dow Jones consensus estimates project 75,000 jobs were added in the private sector and 231,000 first-time filings for unemployment insurance.
The data follows recent remarks from Federal Reserve officials regarding the state of the labor market. Fed Chair Jerome Powell recently noted what he called a “curious kind of balance that results from a marked slowing in both the supply of and demand for workers,” adding that this suggests “downside risks to employment are rising.” In separate comments, Fed Governor Christopher Waller suggested last week that an especially weak August jobs report could support a half-percentage point interest rate cut in September.
On the corporate earnings calendar, Salesforce is scheduled to report its quarterly results after the market closes on Wednesday. According to data from LSEG, the consensus among analysts is for the company to report revenue of $10.14 billion and adjusted earnings of $2.78 per share. Analysts are expected to monitor metrics including current remaining performance obligation (cRPO), a measure of future revenue growth.
Chipmaker Broadcom is set to release its earnings report on Thursday evening. Wall Street consensus expects the company to report revenue of $15.83 billion and earnings per share of $1.65. The performance of Broadcom’s AI-related businesses, which include custom chip design and networking products, will be a key focus. In a recent note to clients, analysts at Citigroup stated they expect Broadcom to report above-consensus results driven by AI strength.
In addition to economic data and earnings, a recent federal appeals court ruling that struck down most of the “reciprocal” tariffs from the Trump administration is another development for market participants. The duties are to remain in effect until mid-October to provide the administration time to appeal the decision.
U.S. markets will be closed on Monday, Sept. 1, in observance of the Labor Day holiday.
