S&P 500 futures are up 0.8 percent, while most of Europe rose fractionally. Asia was unusually calm given yesterday's selloff in the United States. Shanghai fought back from early losses, leaving Hong Kong as the only index down more than 1 percent. Energy remains under pressure this morning.
ADP reported the private sector employers added 1900,000 jobs last month, below the 201,000 forecast by economists. It's the second of four major economic events this week, followed by the European Central Bank tomorrow and non-farm payrolls Friday.
The S&P 500 fell almost 3 percent Monday, its seventh move of at least a full percent in the last nine sessions. The index is been trying hold its ground following a sharp drop in late August, and may now be forming a range above its October lows.
Investors are digesting mixed economic news. Last week, for instance, gross domestic product was revised much higher than expected, but yesterday the Institute for Supply Management's manufacturing index fell more than forecast. The big question now is whether the Federal Reserve will raise interest rates later this month.
Most sectors are down in short term given the recent drop, but optionMONSTER's proprietary researchLAB market scanner shows strength over the last three months in car-rental companies, housing-related names, cruise-ship operators, and e-commerce firms.
In company-specific news, video-chip maker Ambarella declined 10 percent after issuing weak guidance yesterday afternoon. Key customer GoPro also dropped 6 percent. H&R Block rallied 7 percent after earnings and revenue beat expectations. Navistar tanked 14 percent after missing estimates on the top and bottom lines. Amgen may climb following positive data for its romosozumab bone drug.
Oil fell more than 1 percent, losing steam following a short squeeze last week. The U.S. dollar is higher against the euro and Japanese yen.
