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U.S. stock futures were slightly higher Friday as investors prepared for the release of the closely watched August nonfarm payrolls report. Market participants are eager for clues on the Federal Reserve’s next interest rate move, with expectations largely tilted toward a rate cut later this month. In other developments, ChatGPT developer OpenAI is reportedly planning to produce its own AI chip in partnership with Broadcom.

Futures show modest gains

By early Friday, Dow futures were largely flat, S&P 500 futures had risen about 0.2%, and Nasdaq 100 futures gained roughly 0.4%. Wall Street indices posted gains in the previous session, with the S&P 500 hitting a record closing high. Recent labor market data, showing slower private-sector hiring and slightly higher unemployment claims, have reinforced bets on a Fed rate reduction at the September 16-17 meeting.

Nonfarm payrolls report looms

Economists expect the U.S. to have added around 75,000 jobs in August, slightly above July’s 73,000. A weaker-than-expected reading could solidify market anticipation for a 25-basis point cut, with CME FedWatch pricing nearly a 100% probability. Fed officials face the dual challenge of managing inflation while supporting employment, with recent comments indicating labor market support may be the current priority.

The upcoming report follows a weaker-than-expected prior print, which also included significant downward revisions to May and June figures. That report had drawn criticism from President Donald Trump, who accused the data agency of political bias and later replaced its head with a loyalist.

OpenAI moves into in-house AI chips

OpenAI plans to manufacture its own AI chip starting in 2026, partnering with Broadcom, according to the Financial Times. The initiative aims to meet rising computing demands for AI programs while reducing dependence on Nvidia. Broadcom CEO Hock Tan confirmed a new customer had committed $10 billion in orders, which the FT identified as OpenAI. The chips will be used internally by OpenAI rather than sold externally. The announcement follows Broadcom’s strong Q3 earnings and upbeat guidance, with shares rising more than 6% in after-hours trading.

USMCA renegotiation on the horizon

The Wall Street Journal reported that the Trump administration is preparing to restart negotiations on the U.S.-Mexico-Canada trade deal. The Office of the U.S. Trade Representative is expected to hold public hearings, aiming for a formal renegotiation by the October 4 deadline. While initial consultations will gather input from businesses and unions, the process is expected to extend over several months. Trump’s administration has previously imposed and scaled back tariffs on Canada and Mexico, adding complexity to the talks.

Gold remains near highs

Gold prices were subdued in early European trading as investors awaited the U.S. payrolls report. Spot gold rose 0.1% to $3,547.80 an ounce, while December futures held near $3,607.82/oz. Expectations of a September rate cut have kept the yellow metal close to recent peaks, with broader metals markets also positioned for weekly gains. Lower rates tend to favor non-yielding assets like precious metals by reducing the opportunity cost relative to government bonds.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Gold prices rose in early Asian trading on Friday, hovering near recent highs as investors increased bets on potential U.S. interest rate cuts. Market attention is focused on the upcoming nonfarm payrolls report, which could reinforce expectations of lower rates.

Spot gold advanced 0.4% to $3,559.82 an ounce, while December gold futures gained 0.3% to $3,617.87/oz by 01:04 ET (05:04 GMT). Earlier this week, spot prices touched a record $3,578.80/oz. Broader metal prices also moved higher, reflecting a weaker U.S. dollar amid growing confidence in a September rate reduction.

Gold Set for Third Consecutive Week of Gains

Gold is on track to rise about 3.2% this week, marking its third straight week of solid gains. Investor optimism about a September rate cut has been a key driver, alongside heightened safe-haven demand triggered by concerns over elevated government debt in developed nations and uncertainties surrounding the U.S. economy, including trade tariffs and the Fed’s independence.

Several Federal Reserve officials signaled this week that the central bank may be open to cutting rates in response to a cooling labor market. Recent data on jobless claims and job openings came in weaker than expected, prompting traders to increase expectations for a September rate reduction. CME FedWatch shows markets pricing in a more than 96% probability of a 25-basis-point cut at the September 16-17 meeting.

Industrial Metals Also Rise Ahead of Payrolls

Other metals followed gold’s upward trajectory. Spot platinum climbed 0.6% to $1,383.20/oz, gaining 1.1% for the week. Spot silver rose 0.5% to $40.8615/oz, up nearly 3% for the week.

Among industrial metals, London Metal Exchange copper futures increased 0.7% to $9,957.05 per ton, while COMEX copper rose 0.6% to $4.5932 per pound.

Investors are closely watching the U.S. nonfarm payrolls report, due at 08:30 ET (12:30 GMT), which is expected to show continued weak job growth in August. A soft reading could further support market expectations for a Fed rate cut in September. Lower interest rates generally benefit non-yielding assets such as gold and other metals, as the opportunity cost of holding them versus government bonds decreases.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Oil prices eased in early Asian trading on Friday as market participants weighed uncertainty over potential output decisions by OPEC+, which is scheduled to meet over the weekend.

Crude benchmarks were set for weekly declines, pressured in part by an unexpected rise in U.S. inventories, which sparked concerns about weakening fuel demand.

Brent crude for November delivery slipped 0.2% to $66.83 a barrel, while West Texas Intermediate (WTI) futures fell 0.2% to $62.88 a barrel as of 20:38 ET (00:38 GMT).

OPEC+ Output Uncertainty Clouds Market

Oil was on track for weekly losses of 1% to 1.5% amid worries about rising supply alongside softening demand. OPEC+—the Organization of the Petroleum Exporting Countries and its allies—is set to convene this weekend.

Recent reports suggest some members are considering additional production hikes, following the cartel’s increase of around 2.2 million barrels per day so far in 2025. Any further output expansions would continue to reverse the deep cuts OPEC implemented over the past two years, as the group seeks to bolster production and regain market share.

Russian oil production remains a key focus, amid U.S. efforts to discourage major buyers such as India and Europe from sourcing more oil from Moscow. Nevertheless, Russia recently committed to supplying at least 2.5 million metric tons of oil annually to China via Kazakhstan, likely keeping production levels elevated.

U.S. Inventories Rise Unexpectedly

U.S. crude stocks added to market caution after the Energy Information Administration reported a surprise inventory increase of 2.415 million barrels in the week ending August 29, versus expectations for a 2 million-barrel draw.

Distillate inventories also saw unexpected growth, while gasoline stocks experienced a draw larger than anticipated. The figures heightened concerns over cooling U.S. fuel demand, particularly following the end of the busy summer travel season.

Signs of a softening labor market have further fueled worries about domestic fuel consumption in the months ahead. Attention now turns to the U.S. nonfarm payrolls data for August, due later in the day, which could provide additional insight into economic trends and potential interest rate moves.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

European equity markets inched up as investors awaited Friday’s U.S. payrolls report, which could influence the Federal Reserve’s upcoming interest rate decisions.

By 08:04 GMT, the pan-European Stoxx 600 had gained 0.3%, positioning it for a modest weekly advance. Germany’s DAX rose 0.1%, France’s CAC 40 also increased by 0.1%, and the U.K.’s FTSE 100 added 0.2%.

Economists predict the U.S. Labor Department’s Bureau of Labor Statistics will report 75,000 new jobs in August, slightly above July’s 73,000. Analysts suggest that a softer-than-expected reading could reinforce expectations of a 25-basis-point rate cut at the Fed’s September 16-17 meeting. CME’s FedWatch Tool indicates nearly a 100% probability of such a reduction, lowering the target range from 4.25%-4.5%.

Fed officials face the dual challenge of maintaining price stability while promoting maximum employment. Recent commentary suggests that supporting the labor market may currently take priority. Lowering interest rates can stimulate business and consumer spending but carries the risk of reigniting inflationary pressures.

Earlier labor data this week also hinted at a slowing U.S. job market. Private-sector hiring decelerated in August, while weekly unemployment claims rose more than expected, pointing to a potential cooling in employment growth.

In company news, Hexagon (TG:HXG) shares jumped following the announcement of a $3.16 billion sale of its design and engineering division to U.S. firm Cadence Design, expected to close in Q1 next year. Conversely, Orsted (TG:D2G) shares fell after the Danish energy company lowered its operating outlook due to weaker-than-expected wind speeds. Temenos also declined following the immediate departure of CEO Jean-Pierre Brulard.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Ashmore Group PLC (LSE:ASHM) has reported positive investment performance, with assets under management reaching $47.6 billion, supported by net inflows into equities and local offices. Despite a 22% year-on-year decline in adjusted net revenue, the company maintained a solid balance sheet and achieved a 36% adjusted EBITDA margin. Strategic initiatives include diversification into equities and investment-grade strategies, expansion in local markets, and capturing capital flows as investors increasingly shift from US markets to emerging markets. Active management has contributed to notable outperformance, positioning Ashmore to benefit from the reallocation trend toward emerging markets.

Robust technical indicators and recent corporate developments contribute to a strong overall stock profile. While profitability and stability remain solid, the decline in revenue and cash flow continues to be a concern. Valuation metrics indicate fair pricing, and a high dividend yield enhances the stock’s appeal for income-focused investors.

About Ashmore Group PLC

Ashmore Group PLC is a specialist asset manager focused on emerging markets. The company provides investment strategies across equities, fixed income, and alternatives, aiming to capture superior economic growth and deliver higher risk-adjusted returns in emerging markets.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Berkeley Group Holdings (LSE:BKG) has reported steady trading for the first four months of the financial year, maintaining its full-year pre-tax earnings guidance of £450 million for the year ending April 2026. The company recently completed its 2011 Shareholder Returns programme and launched the Berkeley 2035 strategy, targeting £2.0 billion in shareholder returns by 2035. Despite challenges in the London housing market, management remains confident in its flexible capital allocation model and ability to create long-term shareholder value through strategic investments and partnerships with government to navigate regulatory and viability hurdles.

The company’s outlook is supported by strong valuation metrics, including a low price-to-earnings ratio and a high dividend yield. While financial performance is stable, concerns remain regarding revenue growth and cash flow generation. Technical indicators suggest a bearish trend, partially offsetting the favorable valuation.

About The Berkeley Group Holdings

The Berkeley Group Holdings plc is a UK-based real estate developer focused on residential property. The company is recognized for ambitious brownfield regeneration projects and investment in build-to-rent (BTR) platforms, aiming to deliver benefits for communities, the economy, and the environment.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Gear4music (Holdings) plc (LSE:G4M) reported a 27% increase in group revenues for Q1 FY26 compared to the same period last year, fueled by a refreshed growth strategy and favorable market conditions across the UK and Europe. The company is optimistic about its full-year performance for the year ending March 2026, anticipating higher revenues and profits, with additional trading updates scheduled for October and November 2025.

The outlook remains mixed. Strong technical momentum points to potential short-term gains, yet a high price-to-earnings ratio raises valuation concerns, and weak cash flow generation presents ongoing risks. Continued improvement in profitability and cash flow will be critical to support long-term growth.

About Gear4music (Holdings) plc

Gear4music (Holdings) plc is the UK’s largest retailer of musical instruments and music equipment. Headquartered in York with distribution centers across the UK and Europe, the company offers both own-brand and premium third-party instruments and equipment, catering to beginners and professional musicians worldwide. Gear4music has developed a robust e-commerce platform supporting multilingual and multicurrency transactions, enhancing its international reach and customer experience.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Peel Hunt Limited (LSE:PEEL) has delivered a robust start to FY26, surpassing market expectations. The company has actively participated in notable M&A deals and equity raises, particularly through its corporate franchise serving 58 FTSE 350 clients. The strong performance is evident in the Execution Services segment, where revenues have significantly increased compared to the previous year. Peel Hunt expects full-year results to exceed market forecasts and plans to provide an update on six-month revenues on October 1, 2025.

Despite this positive momentum, the company’s outlook is tempered by financial challenges, including negative profitability and rising leverage. Technical indicators suggest some short-term positive trends, but valuation concerns—driven by a negative price-to-earnings ratio and absence of dividend yield—remain key considerations.

About Peel Hunt Limited

Peel Hunt is a UK-based investment bank focused on supporting mid-cap and growth companies. It provides a full range of investment banking services, including equity and private capital markets, M&A advisory, debt solutions, investor relations, and corporate broking. Known for its research, distribution, and execution capabilities, Peel Hunt plays a vital role in providing liquidity to UK capital markets. The company is AIM-listed and maintains offices in London, New York, and Copenhagen.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Surface Transforms (LSE:SCE) has named Paul Marr as a Non-Executive Director. Marr brings extensive experience in automotive manufacturing and operations, having held senior roles at General Motors and other leading companies. His appointment is expected to enhance the company’s manufacturing capabilities and reinforce relationships with key automotive OEMs, supporting Surface Transforms’ objectives of operational excellence and growth.

The company’s outlook continues to reflect financial challenges and mixed technical signals. Negative profitability and ongoing financial pressures weigh heavily, though recent operational improvements and strong insider confidence provide a more positive perspective on future growth potential.

About Surface Transforms

Surface Transforms plc is a UK-based specialist in the development and production of carbon-ceramic brake discs for the automotive industry. It is the only manufacturer of such discs in the UK and one of only two mainstream producers globally. The company supplies major OEMs worldwide, leveraging its proprietary Carbon Ceramic Technology to deliver lightweight, high-performance brake discs suitable for both internal combustion and electric vehicles.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.

Camellia Plc (LSE:CAM) has reported stable trading results for the first half of 2025, emphasizing progress on its Value Enhancement Plan designed to boost operational performance and shareholder returns. Despite challenges from seasonal crop fluctuations and geopolitical factors affecting demand, the company has strengthened its cash position through asset sales while continuing to invest in diversification and operational efficiency. Management expects full-year revenues and trading results to improve compared to 2024.

The company’s outlook remains constrained by ongoing financial challenges, including persistent losses and liquidity pressures, which overshadow potential technical and strategic gains. Technical indicators show some short-term bullish momentum, and positive corporate actions such as share buybacks support sentiment. However, underlying financial weaknesses and valuation concerns continue to weigh on the overall outlook. Limited earnings call data further restrict insight into management’s projections, emphasizing the need for cautious assessment.

About Camellia Plc

Camellia Plc is an agricultural company engaged in the production and sale of tea, avocados, and other crops. With significant operations in India, Bangladesh, Kenya, and Tanzania, the company is actively pursuing diversification strategies to strengthen its market position and long-term growth prospects.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.