DJIA down 0.21% (Il Sole 24 Ore Radiocor) - New York, 07 Jun - US shares opened lower after the latest nonfarm payrolls report came in hotter than expected signalling US interest rates may have to stay higher for longer.

The labor market added 272,000 nonfarm payroll jobs in May, far higher than the 182,000 expected by economists. At the same time the unemployment rate inched up to 4.0% from last month's 3.9% while wages, an important driver of inflationary pressure, rose 4.1% on the year, reversing the downward trend seen last month.

Strong labor market readings have stoked concern the Federal Reserve may have to keep interest rate cuts higher for longer as it strives to bring inflation down.

The Federal Reserve next meets on monetary policy next week but is widely expected to wait until September at the earliest to cut rates.

Yesterday the ECB became the first major central bank to cut its rates in the current cycle.

On the stocks front, shares in video game retailer GameStop fell 15% in early trade after it announced it was selling 75 million new shares, just hours before investor Keith Gill, also known as "Roaring Kitty," is due to hold a livestream video on YouTube. The company also announced ahead of time its first quarter results which showed a narrower loss and falling revenue.

Nvidia was down 1.8% after its recent record highs on the day the chipmaker is executing its 10-1 stock split. DocuSign was down more than 10% after disappointing first-quarter results.

Just after the opening bell the Dow Jones was down 81.36 points, or 0.21%, at 38,804.81, the S&P 500 was down 12.98 points, or 0.24%, at 5,339.98 while the Nasdaq was down 51.35 points, or 0.30%, at 17,121.77.

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(RADIOCOR) 07-06-24 15:39:41 (0445) 5 NNNN