Stock Market Update

[BRIEFING.COM] The S&P 500 (+1.0%), Nasdaq Composite (+1.6%), and DJIA (+0.5%) are off to a higher start this morning as a more favorable macro backdrop prompts broad gains across stocks.

Crude oil is down $3.30 (-3.6%) to $89.51 per barrel amid reports that Europe is considering releasing diesel supplies from its reserve stocks, while IEA members are considering a release of 50 million barrels of oil. Treasury yields are modestly lower across the curve, adding to yesterday's progress, which helped stocks eke out a mostly higher finish.

Additionally, this morning's somewhat weaker-than-expected employment report adds to the market's hopes that the Fed may not deliver another rate hike at the October FOMC meeting. The odds that the Fed keeps rates on hold jumped to 81.7% following the report, according to the CME FedWatch tool, up from 75.7% yesterday.

So far, that has translated into broad stock gains, which is a welcome sight given creeping concerns about weak participation across the broader market. Eight S&P 500 sectors trade higher, with tech and mega-cap stocks providing solid leadership. The Vanguard Mega Cap Growth ETF is up 1.3%. Tesla (TSLA 370.95, +16.84, +4.76%) is a standout, helping the consumer discretionary sector (+1.6%) climb to the top of the sector standings, with NIKE (NKE 33.08, -2.07, -5.89%) post-earnings retreat being outweighed by gains across a host of oil and rate-sensitve stocks. 

The information technology sector (+1.4%) is not far behind, supported by a 3.1% gain in the PHLX Semiconductor Index.

Meanwhile, the defensive health care (-0.3%) and financials (-0.1%) sectors hold modest losses while the energy sector (-0.1%) sits just below its flatline amid the retreat in oil prices.

Just released, factory orders increased 0.1% in September (Briefing.com consensus 0.0%), from the downwardly revised previous increase of 0.8% (from 0.9%).