(For a Reuters live blog on U.S., UK and European stock
markets, click or type LIVE/ in a news window.)
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Weekly jobless claims at 232,000 vs 230,000 est.
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Business activity surveys awaited at 9:45 a.m. ET
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Charles Schwab ( SCHW ) falls as TD Bank to trim stake
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Zoom gains on lifting FY revenue forecast
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Futures up: Dow 0.04%, S&P 500 0.14%, Nasdaq 0.25%
(Updated at 8:45 a.m. ET/ 1245 GMT)
By Shashwat Chauhan and Johann M Cherian
Aug 22 (Reuters) - Wall Street's main indexes eyed a
higher open on Thursday, as investors were more hopeful the
Federal Reserve would kick off its interst rate cut cycle next
month, while awaiting policymakers' commentary at Jackson Hole
this week.
Expectations of a rate cut got a boost after minutes from
the U.S. central bank's latest meeting showed on Wednesday a
"vast majority" of officials said such an action was likely.
The much-awaited Jackson Hole Economic Symposium kicks off
on Thursday. Fed chair Powell is slated to deliver his remarks
on the second day of the event.
Money markets currently see a nearly 70% chance of an at
least 25-basis-point (bps) cut in September, as per the CME
FedWatch Tool, and about 100 bps of easing by December,
according to LSEG data.
Wall Street's main indexes closed slightly higher in the
previous session, with the S&P 500 notching its ninth
session of gains out of 10, after data showed U.S. employers
added far fewer jobs than originally reported in the year
through March.
Kansas City Fed President Jeff Schmid, one of the U.S.
central bank's more hawkish policymakers, said he was taking a
closer look at the dynamics behind the rise in the unemployment
rate and would let data guide him on whether to support a rate
cut next month.
Meanwhile, the number of Americans filing new applications
for unemployment benefits rose in the latest week, but the level
still suggested easing labor market conditions.
"The labor market is cooling off, but the real question is,
to what extent? We should (wait) for the unemployment numbers
for August and then see if the Fed is going to respond in a more
forceful way," said Peter Cardillo, chief market economist at
Spartan Capital Securities.
Preliminary estimates of August U.S. business activity are
due at 9:45 a.m. ET.
At 08:45 a.m. ET, Dow E-minis were up 16 points, or
0.04%, S&P 500 E-minis were up 8 points, or 0.14% and
Nasdaq 100 E-minis were up 49.25 points, or 0.25%.
Among individual stocks, data cloud analytics firm Snowflake
raised its forecast for full-year product revenue.
Still, Snowflake's shares were down 9.9% in premarket trading,
with analysts attributing the drop to the company not pairing
the climb in revenue projections with a rise in margin forecast.
Paramount Global ( PARAA ) gained 1.6% after a source told
Reuters that veteran media executive Edgar Bronfman has
sweetened his bid to take over the company, offering $6 billion
for its controlling shareholder National Amusements and a
minority stake in Paramount.
Shares of Charles Schwab ( SCHW ) were down 3.2% after
Canada's TD Bank Group said it would sell part of its
stake in the brokerage firm.
Zoom Video Communications ( ZM ) added 1.6% after raising
its annual revenue forecast, driven by strong demand for its
AI-powered collaboration tools deployed in hybrid work models,
while Advanced Auto Parts slid 20.9% after trimming its
annual profit forecast.
(Reporting by Shashwat Chauhan and Johann M Cherian in
Bengaluru; Editing by Sherry Jacob-Phillips and Shinjini
Ganguli)