Dow Jones futures, S&P 500 futures, and Nasdaq futures all saw a slight decline after hours trading. Another inflation report, the producer price index, is set to be released soon.
The stock market took a hit on Wednesday due to a hot CPI inflation report. Despite this, key support was found for the Nasdaq and S&P 500, with Nvidia leading the way in stock rebounding. However, there was an overall sense of weakness seen across small caps and key ETFs.
Treasury yields saw a significant increase following the inflation report and a weak 10-year Treasury auction. Although the Fed minutes didn’t have a major impact, policymakers are still considering rate cuts for this year. Market expectations for a Fed rate cut have shifted to September, with some uncertainty surrounding potential rate cuts in 2024.
Amidst the market volatility, there were some bright spots such as Nvidia and Taiwan Semiconductor reporting strong sales. Companies like Nutanix, Axon Enterprise, and Microsoft also showed strength.
Looking ahead, the Labor Department is set to release the March producer price index and weekly jobless claims, which will provide further insight into the current economic conditions.
It’s important for investors to stay cautious in the current market environment, keeping a close eye on market trends and making decisions based on thorough research and analysis.
