By Liz Moyer
Investing.com -- Wall Street gained momentum Tuesday, with U.S. stock indexes rising on renewed hopes for the economic recovery despite ongoing civil unrest.
Stocks in the financial, industrial and energy sectors led the major indexes higher throughout Tuesday's trading session. Energy stocks jumped on hopes that oil producing nations would agree to extend production cuts, which has lifted the price of oil in recent days after a sharp downturn.
Data on payroll and factory orders will be released Wednesday, along with a spate of earnings, including a report from Campbell Soup (NYSE:CPB).
Here are three things that could move the markets tomorrow.
1. Payroll Numbers Expected to Drop Another 20 Million
ADP's (NASDAQ:ADP) monthly National Employment Report, often a harbinger of government data that gets released later in the week, is expected to show another 9 million jobs lost in the period. Those numbers arrive at 8:15 AM ET (12:15 GMT).
The last report on May 6 showed a loss of 20.2 million from payrolls, the most in the history of the report.
Any improvement, however slight, may be interpreted as a positive sign that the U.S. economy was emerging from the worst of its downturn, after companies were forced to close down and people ordered to remain home to slow the spread of the deadly Covid-19 virus.
Since the middle of May, various states and cities have gradually loosened restrictions, allowing businesses and consumers to move gradually back to normal, though hiring and business activity may not reflect a strengthening economy for a few more months.
2. Factory Orders Expected to Improve
Another barometer of economic activity are the monthly factory orders, which are due out in the morning. The forecast is for a decline in new orders for U.S. manufacturing goods by 14% in April.
That would be larger than the 10.4% decline reported May 4 for the month of March, when the coronavirus pandemic disrupted supply chains and consumer activity.
3. Earnings Reports Test Strength of Food Makers During Pandemic
Campbell Soup is scheduled to report fiscal third-quarter earnings before the market open on Wednesday. The condensed soup maker has been trying to segue into higher growth food categories like snacks and organic products, and it may get a boost from people preparing their own meals during stay-at-home mandates over the last few months.
Analysts forecast profit of 72 cents a share on sales of $2.2 billion. Shares of the $15.6 billion company have risen 6% this year, closing Tuesday at $52.01.