Traders work on the floor of the New York Stock Exchange.
NYSE
S&P 500 futures rose Thursday as investors weighed the latest corporate earnings reports, including strong results from Meta Platforms.
Futures tied to the broad-market index gained 0.4, while Nasdaq-100 futures climbed nearly 0.5%. Futures tied to the Dow Jones Industrial Average shed 2 points, hovering just under the flatline.
Meta Platforms rallied about 8% before the open on stronger-than-expected second-quarter results and upbeat guidance, while Shake Shack jumped more than 14.5% after posting a revenue beat. Arm Holdings, meanwhile, slid roughly 9% after offering an underwhelming current-quarter guide.
Stocks are coming off a winning session that saw the S&P 500 rally 1.6% for its best day since February. The Nasdaq popped more than 2%, while the 30-stock Dow closed slightly higher.
Those gains came as Federal Reserve Chair Jerome Powell signaled the central bank could cut at its next meeting if the data continues supporting the narrative that inflation is easing. The Fed held interest rates steady.
“If that test is met, a reduction in our policy rate could be on the table as soon as the next meeting in September,” Powell said.
Fed funds futures trading indicated an 86% likelihood that the central bank cuts rates by 25 basis points at its September meeting, according to CME Group’s FedWatch Tool.
“Ultimately, the market is counting on the rate-cutting cycle beginning in September â despite how many times Powell tried to keep the Fed’s options open â and the rally in stocks this afternoon began to pick up steam the more that Fed Chair tried to put the horse back in the barn throughout the press conference,” said Chris Zaccarelli, chief investment officer at Independent Advisor Alliance.
Source Agencies
