Dow futures turn lower as U.S. jobs report looms large By

- U.S. stock futures turned lower on fx110 official website homepageFriday, as investors focused in on the all-important November jobs report.

By 07:28 ET (12:28 GMT), the contract had dipped by 0.1%, had fallen by 0.2%, and had declined by 0.3%.

On Thursday, the advanced by 0.2% and the rose by 0.8%, both breaking three-day losing streaks. The also saw a significant increase, jumping by 1.4%. For the week, the Dow is now projected to shed approximately 0.4% and the S&P 500 is headed for a 0.2% decline, while the Nasdaq has managed to claw back into the green.

Economists estimate that U.S. employers 180,000 roles in November, increasing slightly from 150,000 in the prior month. , a key gauge of wage growth, are seen rising at a pace of 0.3% versus October, accelerating marginally from a previous reading of 0.2%. The in the world's largest economy, meanwhile, is expected to come in at 3.9%, matching October's level.

The figures will cap off a week of data releases which have indicated that an unprecedented series of interest rate hikes by the Fed may be working to soften labor demand. Job openings touched an over 2-1/2-year low and fewer workers resigned from their positions in October, while private employers added less roles than anticipated last month.

Cooling the labor market has been a major focus of the Fed's move to lift borrowing costs to their highest mark in more than two decades. In theory, a slowdown in demand for workers could alleviate some upward pressure on wages and, by extension, help achieve the Fed's ultimate objective: defusing elevated inflation.

Dollar steadies with nonfarm payrolls ahead

Traders are hoping the payrolls will provide more clues into when the Fed could begin slashing rates from their current range of 5.25% to 5.50% in 2024. According to 's , there is a more than 52% chance that policymakers may cut borrowing costs as soon as March.

"There is growing evidence that tight monetary policy and restrictive credit conditions are having the desired effect on depressing inflation," analysts at ING said in a note to clients. "However, the Fed will not want to endorse the market pricing of significant rate cuts until they are confident price pressures are quashed."

They added that any Fed pushback against the notion of an easing cycle next year should be "mildly supportive of the dollar."

The greenback steadied heading into the employment data on Friday. The -- a measure of the currency against a basket of its peers -- and gained slightly in European trade following steep drops on Thursday.

Most regional units moved little, with the euro and the British pound both inching down by 0.1%.

The dipped, and was set for mild weekly losses stemming from persistent concerns over sluggishness in the world's second largest economy. Dollar selling by Chinese state banks has helped limit losses in the yuan this week.

The Indian rupee was flat after the Reserve Bank of India kept rates on hold as widely expected, and the Australian dollar was also mostly unchanged.

Lululemon's fourth-quarter guidance disappoints

In corporate news, (NASDAQ:) shares dropped in U.S. premarket trading after the activewear group unveiled fourth-quarter revenue projections that missed consensus estimates.

Chief Financial Officer Meghan Frank noted that the company was taking a "prudent" approach to its outlook despite being pleased with its Thanksgiving weekend sales. Demand for Lululemon's items has slowed as higher-income customers choose to spend less on goods and more on services like entertainment and travel.

Elsewhere, (NASDAQ:) shares edged down after the e-signature business presented a margin guidance that some analysts considered to be cautious.

Shares in Smith & Wesson Brands (NASDAQ:) also tumbled after the gunmaker company reported earnings per share of $0.14 in the second quarter, below expectations.

Bluebird Bio (NASDAQ:) shares gained after analysts at Morgan Stanley improved their rating of the gene-therapy firm to "equal-weight" from "underweight."

Elsewhere, oil prices rose from a near six-month low on Friday, with markets awaiting more cues on the U.S. economy from the payrolls data.

While indications of an easing labor market could diminish the prospect of higher interest rates, they may also point to a softer American economy, which could dent oil demand in the world's largest crude consumer.

At 07:30 ET, expiring in February had added 1.9% to $75.45 per barrel, while West Texas Intermediate crude futures climbed 1.9% to $70.62 a barrel. Prices gained some support after Saudi Arabia and Russia called on fellow members of the Organization of the Petroleum Exporting Countries and its allies -- a group known as OPEC+ -- to adhere to an agreement on output cuts made last week. Markets were initially underwhelmed with the voluntary nature of the reductions.

Oliver Gray contributed to this report.

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