U.S. futures are on the rise this morning as investors react to yesterday’s soft inflation report, fueling hopes of potential interest rate cuts by the Federal Reserve later this year. Futures on the Nasdaq 100, S&P 500, and Dow Jones Industrial Average are all showing gains, indicating a positive start to the trading day.
Yesterday, all three major indices closed higher, with the Nasdaq Composite leading the pack with a 1.4% gain. The Dow Jones and S&P 500 indices also saw significant increases, climbing 0.88% and 1.17%, respectively. Economist Stephen Juneau of the Bank of America suggests that inflation data must continue to slow for a potential rate cut in September.
Today, investors are eagerly awaiting the release of the Weekly Jobless Claims data and the Philadelphia Fed Manufacturing Index. Additionally, several major companies, including Walmart, Applied Materials, and Baidu, are set to report their quarterly earnings.
In other market news, Monday.com stock surged over 21% following better-than-expected first-quarter results, while Dell Technologies saw an 11% increase after a positive analyst rating. Chubb also experienced a significant gain in after-hours trading after Warren Buffett’s Berkshire Hathaway disclosed a stake in the company.
As for global markets, European indices opened mixed today, with earnings reports from major companies impacting market sentiment. In Asia-Pacific, indices traded higher as the lighter-than-expected rise in U.S. consumer prices boosted investor confidence. Japan’s Nikkei and Topix indices, as well as China’s Shanghai Composite and Shenzhen Component indices, all showed gains. Hong Kong’s Hang Seng index closed 1.5% higher.
Overall, the market outlook remains positive as investors continue to monitor economic data and corporate earnings reports for further insights into the state of the economy.
