Wall Street edges higher and FTSE dips as investors eye delayed US economic data

US stocks wobbled shortly after the market open on Wall Street on Monday, before two of the main indices recovered to trade in the green.

The S&P 500 (^GSPC) had advanced 0.3% at the time of writing and the tech-focused Nasdaq Composite (^IXIC) climbed 0.5%, while the Dow Jones Industrial Average (^DJI) hovered around the flatline.

Jeff Bezos is set to serve as co-CEO of a new artificial intelligence (AI) startup, called Project Prometheus, according to a report by the New York Times.

The company, which is said to focus on AI for the engineering and manufacturing of computers, automobiles and spacecraft, has reportedly garnered $6.2bn in funding, partly from Bezos.

This reportedly makes it one of the most well-financed early-stage startups in the world.

According to Reuters, this is the first time Bezos has taken a formal operational role in a company since stepping back as CEO of Amazon in 2021.

Andy Haldane, former chief economist at the Bank of England (BoE), said in an interview with Sky News on Monday that budget speculation had contributed to the UK’s weak economic growth.

Haldane said that there has been “a real circus that’s been in town for months and months now – circus of speculation”.

He said that speculation over what might be announced in the autumn budget on 26 November has “caused businesses and consumers to hunker down.”

“One of the reasons we had a very weak growth number last week is because that budget speculation has damped people’s willingness to spend,” he said. “And first and foremost we need to stop that speculation.”

Data released by the Office for National Statistics (ONS) last week showed that the UK economy grew by just 0.1% between July and September, down from 0.3% in the previous quarter.

The European Commission (EC) has raised its 2025 economic growth forecast for the eurozone for 2025, according to a release on Monday.

The EC said it now expected the euro area’s real gross domestic product (GDP) to grow by 1.3% in 2025, versus a forecast of 0.9% back in May.

The governing body said it then anticipated that the eurozone economy would expand by 1.2% in 2026 and 1.4% in 2027.

The EC said that latest business indicators and survey data point to “sustained positive momentum” in the coming quarters.

“The EU’s highly open economy remains susceptible to ongoing trade restrictions, but the trade deals reached between the US and its trading partners, including the EU, have alleviated some of the uncertainties that overshadowed the spring orecast,” the EC said.

Yahoo Finance UK’s Pedro Goncalves writes:

Gold prices were mixed on Monday morning as investors braced for a busy week of US economic data, which could offer further clues as to the Federal Reserve’s interest rate path.

Gold futures slipped 0.2% to $4,085.30 per ounce, while spot gold edged up 0.1% to $4,088.50 an ounce at the time of writing.

Markets are focusing on a slew of US economic reports this week, with particular attention on the delayed September nonfarm payrolls report, which is set for release on Thursday. Economic strength, or signs of weakness, could shape investor expectations for the Fed’s next move.

The CME FedWatch tool now indicates a 44% chance of a 25-basis-point rate cut in December, a decrease from the 62% probability recorded just a week ago.

Read more on the latest commodity and currency moves here.

Yahoo Finance UK’s Pedro Goncalves writes:

Shares in WPP, the world’s largest advertising group, surged by more than 5% in London on Monday, driven by a wave of takeover speculation. According to the Sunday Times, French advertising rival Havas (JP7.F) has held talks about acquiring WPP, while private equity giants Apollo and KKR are also said to be exploring a potential bid for the company.

This renewed interest in WPP comes on the heels of a difficult period for the advertising group. Earlier this month, WPP’s share price tumbled to its lowest level since 1998, after a significant cut to its revenue guidance for the year. The company’s newly appointed CEO, Cindy Rose, acknowledged that WPP’s recent performance had been “unacceptable,” further rattling investor confidence.

Read more on today’s trending tickers here.

Our US team writes:

Tech led US stock futures higher on Monday, poised to revive a stalled rally fuelled by doubts about Federal Reserve interest-rate cuts, as investors looked ahead to this week’s crucial monthly jobs report.

Nasdaq 100 futures (NQ=F) climbed 0.8%, while those on the S&P 500 (ES=F) rose roughly 0.6%. Contracts on the Dow Jones Industrial Average (YM=F), which includes fewer tech stocks, moved up 0.2%.

The coming week sees some of the last major releases for earnings season, particularly for AI trade. Nvidia (NVDA) is set for its blockbuster report on Wednesday, always an intensely scrutinized event. Investors will also get fresh insight into consumer strength as retailers led by Walmart (WMT) report. Home Depot (HD), Target (TGT), Lowe’s (LOW), and Gap (GAP) also release reports this week.

Find out more on today’s US market moves here.

Japan’s economy contracted in the third quarter, as the country’s exports were hit by US president Donald Trump’s tariffs.

Japanese gross domestic product (GDP) shrunk by 0.4% in July to September, compared to the previous quarter and by 1.8% on annualised basis, data released on Monday showed.

Exports fell by 1.2% compared to the second quarter and by 4.5% versus the same period a year ago.

The US and Japan announced a trade deal in July, which saw baseline tariff of 15% placed on imports of Japanese goods.

Japan’s Nikkei 225 (^N225) index closed Monday’s session 0.1% lower, on the back of this latest economic data.

Hey there! Vicky McKeever here — ready to bring you the latest economics and markets news of the day.

In terms of results, we have earnings due out from the following companies on Monday:

Let’s get to it.