U.S. stock futures were mixed on Thursday morning as investors weighed a robust regional manufacturing report and declining jobless claims against rising Treasury yields and a fifth straight advance in oil prices. The Philadelphia Fed's manufacturing activity index surged to 47.4 in August, far exceeding the 24.1 consensus forecast and up from 41.4 in the prior month, signaling a sharp acceleration in factory activity across the region.
Meanwhile, initial jobless claims came in at 206,000, below the 210,000 expected and down from 212,000 the previous week, underscoring a resilient labor market. Continuing claims, however, rose slightly to 1.799 million, above the 1.790 million forecast and up from 1.781 million prior, suggesting some loosening in the employment picture. The four-week moving average of claims increased to 204,000 from 199,750 week over week, but layoffs remain historically low.
The data paints a picture of a firm growth backdrop, which is constructive for the near-term economic outlook, but it also gives the Federal Reserve less reason to cut interest rates if inflation remains sticky. As a result, market participants are closely watching how equities react to the macro releases, with the focus shifting from headline numbers to the market's response.
At 8:30 a.m. ET, the S&P 500 futures were down 0.04%, Nasdaq 100 futures slipped 0.05%, and Dow futures fell 0.19%. The yield on the 10-year Treasury stood at 4.67%, while the 30-year bond yielded 5.217%, near two-decade highs. Oil prices climbed 2.7%, adding to the pressure on valuations.
In corporate news, Walmart (WMT) dropped 5.8% in premarket trading after reporting U.S. comparable sales growth of 2.6%, below the 3.8% consensus. The company also guided third-quarter adjusted EPS to $0.62–$0.64, trailing the $0.68 estimate. While the headline miss was partly due to pharmacy adjustments—the core rate was 3.4%—the 1.1% rise in average ticket suggests weaker spending momentum. Walmart did raise its FY27 net sales guidance to 4%–5% from 3.5%–4.5%, but the sales shortfall weighed on retail peers and defensive sectors.
On the upside, crypto-related stocks continued their rally. MicroStrategy (MSTR) jumped 12.65% and Coinbase (COIN) advanced 9.62% after President Trump called on Congress to advance cryptocurrency legislation, providing a fresh catalyst for the sector. Bitcoin's rebound also supported the move.
Elsewhere, Coty (COTY) tumbled 11.2% after forecasting current-quarter earnings below expectations and withholding its annual outlook, citing uncertainty. The consumer sector faced headwinds from Walmart's miss, while tech stocks were capped by rising yields.
Market breadth was mixed, with small-cap stocks showing relative strength—the iShares Russell 2000 ETF (IWM) rose 0.45%—while the Nasdaq-100 tracking ETF (QQQ) slipped 0.21%. The S&P 500 ETF (SPY) gained 0.19%, and the Dow ETF (DIA) added 0.27%.
Investors will watch whether the 10-year yield breaks above 4.70%, which could pressure duration-sensitive sectors. The opening session will also test whether QQQ can close its gap relative to SPY, as the market digests the mixed signals from growth data and rising costs.
Overall, the premarket tape reflects a selective risk appetite, with crypto and small caps leading while consumer and rate-sensitive areas lag. The market's direction hinges on how stocks absorb the latest macro data and whether yields continue their upward march.
