Nasdaq 100 climbs 0.7% to intraday high ahead of June jobs report

The Nasdaq 100 rose 0.7% to an intraday high on Thursday as traders positioned for the June nonfarm payrolls report, the last major data point before the Federal Reserve's next policy decision.

"The market is pricing in a soft-landing scenario where job growth moderates without collapsing," said Sarah Lin, equity markets reporter at Edgen. "A print near the 115,000 consensus would reinforce that narrative and keep the door open for rate cuts later this year."

The tech-heavy index's advance followed a volatile session Wednesday when the S&P 500 and Nasdaq Composite each fell 0.2% and 0.7%, respectively, after Fed Chair Kevin Warsh told the ECB symposium that prices remain "too high" but inflation risks have eased over the past four weeks as oil prices cooled. The Dow Jones Industrial Average touched a record 52,742 on Wednesday before reversing to close lower.

AI-linked megacaps led the rebound Thursday, with Microsoft and Amazon recovering from Wednesday's declines. Chip stocks, which sold off sharply midweek — AMD, Micron and Intel each fell between 7% and 11% on Wednesday — also stabilized. The advance came as the 10-year Treasury yield edged lower, supporting growth-stock valuations.

The June jobs report, due later Thursday, is expected to show employers added 115,000 workers, with the unemployment rate holding at 4.3%. A result in line with or below consensus would bolster the case that the labor market is cooling gradually, giving the Fed room to ease policy later this year. Markets will close Friday for the July Fourth holiday.

This article is for informational purposes only and does not constitute investment advice.