The S&P 500 and Nasdaq Composite are relatively flat today. 

The winning sectors are Communication Services (XLC) and Consumer Staples (XLP). The Consumer Staples rally comes as J M Smucker Co (SJM) beat earnings estimates on their earnings report, although slightly missed on revenue. Industrials (XLI) is the biggest loser of the day.

Unemployment Report

Today comes with another potential good omen for the market and rate cut prospects. Seasonally adjusted initial unemployment claims came in at 229,000, an increase of 8,000 from the previous week's revised level, and above consensus estimates of 220,000. This shows that inflation is still cooling and a weakening labor market.

This also comes as hiring announcements are at 50,833 for the year, their lowest level since 2014 and a 50% drop from the same time last year.

Check In on Nvidia

Early strength from Nvidia (NVDA), which pushed the stock to new all-time highs, is fading. The pullback is driven by news that NVDA CEO Jensen Huang plans to sell up to $735 million in stock. The move comes via a plan that will execute transactions when certain conditions are met.

The countdown now is for the May monthly jobs report tomorrow, pivotal for stocks.