U.S. stock index futures showed little movement on Wednesday evening, stabilizing after Wall Street’s record-high session driven by sustained strength in the technology sector.
Investor sentiment was buoyed by Federal Reserve Chair Jerome Powell’s acknowledgment of the U.S. economy’s resilience, prompting interest in economically sensitive sectors.
By 18:53 ET (23:53 GMT), S&P 500 Futures dipped slightly to 6,095.50 points, while Nasdaq 100 Futures edged down 0.1% to 21,515.50 points. Dow Jones Futures held steady at 45,099.0 points.
Powell Highlights Economic Resilience Ahead of Payroll Data
Powell stated that the U.S. economy is in a stronger position than it appeared in September when the Federal Reserve initiated rate cuts. This strength allows the Fed to approach further monetary easing with caution.
Speaking at a New York Times (NYSE:NYT) event, Powell noted progress in reducing inflation but hinted at a preference for a slower pace of rate cuts. His remarks are likely his final public comments before the Federal Reserve’s December 17–18 meeting, where a 25-basis-point rate cut is widely anticipated.
However, the market remains uncertain about the long-term outlook. The U.S. economy’s resilience may contribute to persistent inflation, further supported by President-elect Donald Trump’s protectionist trade policies.
Despite these uncertainties, Powell’s acknowledgment of economic strength and his neutral stance on a December rate cut fueled optimism, driving broad-based gains on Wall Street. Attention now turns to the upcoming November nonfarm payrolls data, set for release on Friday. The report is anticipated to highlight the labor market’s resilience and play a key role in shaping the outlook for U.S. interest rates.
Tech Rally Propels Wall Street to Record Highs
U.S. stock indexes closed at all-time highs on Wednesday, driven by a sustained rally in major technology stocks. Strong earnings from Salesforce Inc (NYSE:CRM), which jumped 11%, and ongoing momentum in NVIDIA Corporation (NASDAQ:NVDA) were significant contributors to the gains.
The S&P 500 climbed 0.6% to a record 6,086.49 points, while the NASDAQ Composite surged 1.3% to a peak of 19,732.87 points. The Dow Jones Industrial Average gained 0.7%, reaching a historic high of 45,014.04 points.
Wall Street has seen a remarkable run since President-elect Donald Trump’s victory in early November, with analysts projecting continued growth as 2024 approaches its end.
