Stock Market Update

The S&P 500 futures are up six points and are trading 0.1% above fair value, the Nasdaq 100 futures are up 45 points and are trading 0.2% above fair value, and the Dow Jones Industrial Average futures are down 68 points and are trading 0.1% below fair value.

There was a muted reaction to the revised Q3 Productivity Report, which showed no change from the preliminary estimate of 2.2% (Briefing.com consensus 2.2%). Unit labor costs, however, were revised down to 0.8% (Briefing.com consensus 1.9%) from the preliminary estimate of 1.9% based on an equivalent downward revision to hourly compensation.

The key takeaway from the report is the inflation-friendly indicator of unit labor costs rising in more modest proportions in the third quarter.