(Reuters) – The New York Stock Exchange opened slightly lower on Tuesday ahead of this week’s release of a series of labor market indicators, as investors digest comments from Federal Reserve Chairman Jerome Powell, which on Monday pushed back against expectations of aggressive rate cuts.

In early trading, the Dow Jones index lost 91.20 points, or 0.22% to 42,238.95 points and the broader Standard & Poor’s 500 fell 0.12% to 5,755.54 points.

The Nasdaq Composite lost 0.15%, or 26.45 points, to 18,162.72 points.

US indices struggle to find direction on Tuesday, as investors await the publication at 2:00 p.m. GMT of the latest “JOLTS” report on the number of job openings for August, with attention increasingly turning to the labor market as inflation slows.

Investors are also awaiting data on job creations in the private sector, scheduled for Wednesday, and the monthly employment report on Friday, to get a more precise idea of ​​the state of health of the American economy.

These indicators will be especially closely watched as the Fed chairman said on Monday that the US labor market remained strong and that monetary policy would gradually move towards a more neutral position, suggesting that he was in no rush to cut aggressively. rates after the 50 basis point cut announced last month.

“Given Powell believes inflation has been brought under control, a surprise in the jobs reports could further change the Fed’s course,” Rabobank analysts wrote in a note.

“For example, very weak job growth or an increase in the unemployment rate could still push the FOMC (Federal Open Market Committee) to make a 50 basis point reduction,” they added.

The ISM indicator on manufacturing sector activity is also expected on Tuesday at 2:00 p.m. GMT.

In stocks, Boeing lost 0.79% after the Bloomberg agency reported that the aircraft manufacturer planned to raise at least $10 billion by selling new shares to replenish its cash reserves affected by the current strike.

CVS Health fell 1.63% as sources told Reuters the group is exploring various strategic options that could include a spinoff of the retail and insurance divisions amid difficulty and investor pressure.

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(Written by Diana Mandiá, edited by Blandine Hénault)

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