US Equity Indexes Close Beneath Record Highs Following Downward Revision in Annual Nonfarm Payrolls

04:50 PM EDT, 09/09/2025 (MT Newswires) -- US equity indexes rose on Tuesday, with all three benchmarks close to their all-time highs, as a downward revision in annual nonfarm payrolls further solidified bets for an interest-rate cut next week.

The Nasdaq Composite rose 0.4% to 21,879.489, within touching distance of a recent peak of 21,885.62. The S&P 500 advanced 0.3% to 6,512.61, also near its all-time high of 6,532.65. The Dow Jones Industrial Average was 0.4% higher at 45,711.34, trading close to its record high of 45,770.20.

Utilities and communication services led the gainers. Materials and industrials were among the decliners.

The Bureau of Labor Statistics' preliminary estimate of its benchmark revision to nonfarm payrolls indicated a downward adjustment of 911,000 jobs, or 0.6% of total employment, the agency announced on Tuesday. BLS said the absolute average revision over the last 10 years is 0.2%.

"This (preliminary revision) was at the high end of a very wide range of analyst estimates," said Sal Guatieri, senior economist at BMO. "While the revision doesn't say much about what has happened since March, it suggests the labor market had less momentum heading into the trade war."

Treasury yields rose, with the 10-year up nearly 3.8 basis points to 4.08% and the two-year yield climbing 5.9 basis points to 3.55%.

Markets are currently pricing in a 92% probability, versus 89% a day ago, that the Federal Open Market Committee will reduce its benchmark lending rate by a quarter percentage point on Sept. 17, according to the CME FedWatch tool. The remaining 8% odds favor a 50-basis-point cut next week, implying the Fed's policy easing program will restart in September. The Fed last cut rates in December 2024.

In company news, UnitedHealth Group's (UNH) shares jumped 6%, the top gainer on the S&P 500 and the Nasdaq, after the company said its interim data suggest about 78% of its membership is enrolled in 4-star or higher plans, consistent with expectations and past performance.

Atlassian (TEAM) shares climbed 5.6%, leading the gainers on the Nasdaq, after the company said it is phasing out its data center products in favor of a new cloud platform.

ALB (Albemarle Corporation (ALB)) shares slumped 11%, the worst performer on the S&P 500, joining declining peers Lithium Americas (LAC) and SQM (SQM) due to a report that a major Chinese lithium mine, operated by Contemporary Amex Technology Limited, is set to resume production after a period of suspension, Yahoo Finance reported, citing the Chinese state media outlet Securities Times.

West Texas Intermediate crude oil futures climbed 0.7% to $62.68 a barrel.

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