What’s Driving the Markets Today

U.S. stock index futures fall, signaling a continuation of the negative start to the trading week. Markets are focused on a series of key U.S. economic data due on Tuesday, with the most important being the long-delayed labor market report, postponed because of the prolonged federal government shutdown. Meanwhile, media reports suggest that Nasdaq is seeking regulatory approval to extend its trading hours, while homebuilder Lennar is expected to release its earnings results.

1. Futures decline

U.S. equity futures are lower as investors adopt a cautious stance ahead of upcoming economic data, including the delayed labor market report.

At 2:45 a.m. ET (07:45 GMT), Dow Jones futures were down 185 points, or 0.4%, S&P 500 futures fell 47 points, or 0.7%, and Nasdaq 100 futures dropped 261 points, or 1.0%.

Wall Street’s major indexes closed lower in the previous session, marking a weak start to the final full trading week of 2025. Attempts at a rebound lost momentum amid growing doubts about the sustainability of the artificial intelligence boom following disappointing quarterly results from companies such as Broadcom and Oracle.

Investors are also assessing reports that the candidacy of White House economic adviser Kevin Hassett for Federal Reserve chair is facing resistance from senior figures close to President Donald Trump. Hassett is known as an advocate of rapid and aggressive interest-rate cuts, but CNBC reports rising concerns due to his close ties to the president.

By the end of Monday’s session, the S&P 500 and Nasdaq Composite posted their sharpest daily declines in more than three weeks.

2. Awaiting Nonfarm Payrolls

Attention now turns to economic data due later today that could provide clearer insight into the state of the U.S. economy and the future path of Fed policy.

The most important release will be the November Nonfarm Payrolls report. According to economist estimates cited by Reuters, U.S. employment increased by only about 35,000 jobs. October data, which were not released because of the record-long government shutdown, will be incorporated into the November report.

The updated unemployment rate will also be announced, after the 43-day shutdown disrupted data collection in October. As a result, this key statistical series will see an unprecedented interruption.

Data on retail sales and a preliminary reading on business activity are also expected.

Later in the week, the Bureau of Labor Statistics will release the November Consumer Price Index (CPI). With no October data available, analysts will focus mainly on year-over-year inflation trends.

Last Wednesday, the Fed cut interest rates by 25 basis points to support employment, while noting that price pressures remain relatively stable, albeit elevated. Importantly, the decision was made without access to the latest economic data, meaning this week’s releases could significantly influence the future direction of monetary policy.

3. Nasdaq considers extending trading hours

The Nasdaq exchange is seeking approval from U.S. regulators to extend trading hours on its platforms to 23 hours a day on weekdays, Bloomberg reports.

In a filing with the Securities and Exchange Commission (SEC), Nasdaq requested permission for an additional trading session from 9:00 p.m. to 4:00 a.m. ET, to be added to the standard pre-market, regular, and after-hours sessions.

Interest in U.S. equities has surged in recent years, prompting regulators to consider longer trading hours. The U.S. market accounts for about two-thirds of global market capitalization, and foreign investment in U.S. stocks reached $17 trillion last year.

4. Lennar to report earnings

Among the limited number of corporate earnings releases on Tuesday, results from homebuilder Lennar stand out and will be published after U.S. markets close.

Analysts at Vital Knowledge note that sentiment around the stock remains “cautious,” as the housing downturn is likely to persist for several more quarters amid weak demand and margin pressure.

According to Bloomberg consensus estimates, Lennar is expected to report adjusted earnings of $2.24 per share on revenue of $9.1 billion for the fourth fiscal quarter. New orders are forecast at 20,288.

5. Oil prices fall

Oil prices are declining amid growing expectations of a potential peace agreement between Russia and Ukraine, which could lead to an easing of sanctions.

Brent futures fell 1.2% to $59.82 per barrel, while WTI dropped 1.3% to $55.95 per barrel.

U.S. officials report some progress in negotiations, with Kyiv willing to abandon its bid for NATO membership and Washington offering security guarantees. However, territorial concessions remain a major obstacle. A potential peace deal could allow Russian oil to return to global markets, further increasing supply.