Stock futures down on dismal jobs report
U.S. futures drop on jobs report showing the biggest unemployment jump in 22 years; oil prices rise above $131.
NEW YORK (CNNMoney.com) -- Stock futures were down Friday on a dismal jobs report, which showed the biggest surge in unemployment in 22 years.
At 8:47 a.m. ET, Dow, Nasdaq and S&P futures were down. The May unemployment rate soared to 5.5%, from 5 % in April, the biggest monthly increase since 1986. The Labor Department also reported a net loss of 49,000 jobs in May.
Markets: Oil prices continued to climb, stretching Thursday's meteoric spike, by $3.21 a barrel to $131.06. On Thursday, oil experienced the biggest single day price rise ever in dollar terms, a gain of $5.49.
Gasoline prices, which have been steadily inching closer to $4 a gallon fell three tenths of a cent to $3.986 a gallon on average from their record high reached Thursday.
Asian stocks finished higher, with Tokyo's Nikkei index up 1%. European markets advanced in early trading. The dollar gained against the euro but slipped against the yen.
AIG: The Securities and Exchange Commission is investigating the insurer American International Group for possibly overstating the value of contracts connected to subprime mortgages, reported The Wall Street Journal. AIG (AIG, Fortune 500)
National City Corp: Its banking unit entered a confidential, probation-like agreement with the Office of the Comptroller of the Currency to work out its financial problems related to bad loans, reported The Wall Street Journal. National City (NCC, Fortune 500)
Bank of America-Countrywide: The Federal Reserve approved Bank of America's proposed $4 billion acquisition of distressed subprime mortgage lender Countrywide Financial. The deal will come up from a vote by shareholders of both companies on June 25. BofA (BAC, Fortune 500) Countrywide (CFC, Fortune 500)
Lehman Brothers: The investment bank might release its second-quarter earnings a week early, in conjunction with its announced plans to raise capital, reported The New York Post. The investment firm had planned to release earnings on June 16. Lehman (LEH, Fortune 500)
Energy: The world needs to invest $45 trillion in energy infrastructure to cut greenhouse gas emissions in half by 2050, said the Paris-based International Energy Agency, according to the AP. This would include the building of 1,400 nuclear power plants and expanded use of wind power.