Opening Comment — Monday, October 05, 2026
DJIA: 51,176.96, up 250.40
S&P 500: 7,722.72
NASDAQ: 27,190.86, up 319.26
Stocks lower ahead of PMI data
Stock futures are lower Monday morning ahead of today’s release of the Institute for Supply Management’s (ISM) September Services Purchasing Managers’ Index (PMI). Looking ahead, investors will closely monitor the release of the Federal Open Market Committee’s meeting minutes on Wednesday, along with Friday’s first look at October consumer sentiment from the University of Michigan. As of 7:16 AM ET, the Dow and the S&P 500 Index are both decreasing 0.1%. The Nasdaq 100 is falling 0.2% relative to fair value on the GLOBEX.
U.S. equities were higher on Friday as September’s nonfarm payrolls increased by a less-than-expected 29,000, along with a downward revision to the prior month's data. Average hourly earnings also came in less than expected, increasing by 0.1% month-over-month (MOM) and 3.0% year-over-year (YOY). The unemployment rate ticked up to 4.2%, and the labor force participation rate increased to 61.8%. Meanwhile, August’s factory orders showed a weaker-than-expected increase of 0.1% MOM, while finalized durable goods orders unexpectedly declined by 0.1% MOM. The Dow was up 0.5%, while the tech-heavy Nasdaq Composite rose 1.2%. The S&P 500 increased 0.7% with 10 of 11 sectors finishing in positive territory. The Consumer Discretionary sector was the top performer, rising 1.4%, while the Health Care sector was the bottom performer, ending the day little changed.
On the data front, S&P Global's finalized September Services PMI is expected to remain unchanged from the preliminary reading of 58.7, while the finalized Composite PMI is forecasted to come in at 58.3 versus the preliminary reading of 58.4. Meanwhile, ISM’s Services PMI and prices paid component for September are expected to come in at 55.0 and 73.3, respectively, versus the prior month’s 55.4 and 72.6, respectively.
Across the pond, European stocks are mixed in mid-day trading as the Spanish Prime Minister called for snap elections and France contends with heightened yields. The finalized readings of September services and composite PMIs for Germany and the eurozone were unchanged from the preliminary readings, the readings for France were revised slightly lower, and the readings for the U.K. were revised higher. Meanwhile, the eurozone’s Producer Price Index (PPI) accelerated more than expected in August, increasing by 8.2% YOY.
Overnight in Asia, stocks were higher as Australia’s Melbourne Institute inflation gauge recorded an increase of 0.3% MOM and 4.8% YOY in September. Australia’s and Japan’s services PMI came in at 51.9 and 51.3, respectively, compared to prior month’s 51.4 and 51.6, respectively. Meanwhile the composite PMI came in at 51.3 and 52.3, respectively, versus the prior month’s reading of 50.8 and 52.5, respectively. Japan’s consumer confidence edged slightly lower to 35.4.
In FOREX trading, the dollar is higher ahead of today’s U.S. PMI data.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 0.4% lower at $90.78/barrel and Brent crude oil is up 0.7% at $102.92/barrel following last Friday’s announcement that the Group of Seven nations will release oil and diesel reserves.
In the metals complex, gold is 0.6% higher at $4,164.20/ounce despite a strengthening dollar.