Here are the top news, trends, and analysis investors need to start their trading day:
1. Dow will rise as optimism builds for a debt settlement deal
Traders on the floor of the New York Stock Exchange, October 6, 2021.
Brendon McDermid | Reuters
Dow futures rose 300 points Thursday as Democratic Senators signaled they were receptive to an offer from Senate GOP leader Mitch McConnell that would allow an emergency hike through December. Optimism about a potential deal led Wall Street from sharp losses early Wednesday to modest gains at the close of the Dow Jones Industrial Average, S&P 500 and Nasdaq. All three benchmarks followed three sessions of winning streaks on Thursday after October began with sharp losses and gains.
2. Bond yields rose after the pre-bell unemployment claims data
A career fair in Louisville, Kentucky on June 23, 2021.
Luke Sharrett / Bloomberg via Getty Images
The 10-year government bond yield rose Thursday and traded above 1.54% after the Labor Department announced better-than-expected initial weekly jobless claims. Initial jobless claims fell to 326,000 in the week ending October 2. Economists had expected 345,000 new applications. The government released its September employment report on Friday. ADP’s look at private sector hiring trends last month, released on Wednesday, was stronger than expected.
3. McConnell wants to give Dems time to act on the debt ceiling on his own
Senate Minority Leader Mitch McConnell, a Republican from Kentucky, speaks during a press conference following the Senate Republican lunch in the U.S. Capitol in Washington, DC on Tuesday, September 14, 2021.
Stefani Reynolds | Bloomberg | Getty Images
McConnell said late Wednesday his debt ceiling offer would give Democrats time to use their Capitol Hill majorities to draft a bill to raise the credit limit without a Republican vote. The deadline to take action to limit debt and avoid a US loan default is October 18th. If the Democrats accept McConnell’s offer, lawmakers will again face urgent deadlines to fund the government and raise the debt ceiling before they go home on vacation.
4. Biden announces Covid vaccine mandates for large companies
U.S. President Joe Biden will speak about the bipartisan Infrastructure Act and its Build Back Better agenda on October 5, 2021 at the International Union of Operating Engineers Training Facility in Howell, Michigan.
Nicholas Comb | AFP | Getty Images
President Joe Biden will visit Chicago on Thursday to meet with United Airlines CEO and local Democratic leaders as he announces his decision to impose Covid vaccine mandates on employees of large corporations. Biden ordered all federal employees and contractors to be vaccinated last month, with a few exceptions. For private employers with 100 or more employees, he suggested vaccinating or having their workers tested weekly. Meanwhile, Pfizer said Thursday it had asked the Food and Drug Administration to approve its Covid vaccine with BioNTech for children ages 5-11.
5. George Soros’ fund owns “some” bitcoins, confirms the fund’s CEO
The Hungarian-born US investor and philanthropist George Soros will give a speech on the sidelines of the annual meeting of the World Economic Forum (WEF) on January 23, 2020 in Davos, Eastern Switzerland.
Fabrice Coffrini | AFP | Getty Images
Soros Fund Management, the wealth management company founded by billionaire philanthropist George Soros, has announced that it owns the cryptocurrency Bitcoin. The family office has “some coins … but not many,” said Dawn Fitzpatrick, CEO and chief investment officer of Soros Fund Management, in an interview at a Bloomberg event this week. While it was lower on Thursday, Bitcoin has made a comeback in the past few days, trading above $ 54,000.
– Associated Press and Reuters contributed to this report. Follow all market activity like a pro on CNBC Pro. Get the latest on the pandemic with coronavirus coverage from CNBC.