Dow Jones futures remained stable on Thursday evening, along with S&P 500 futures and Nasdaq futures, as investors awaited the release of the Federal Reserve’s preferred inflation report. The U.S. stock and bond markets will be closed on Friday.
The stock market had a solid week, despite being shortened due to the holiday. While growth stocks, particularly AI leaders like Nvidia (NVDA), experienced some pullback, they generally stayed above support levels. The market showed strength in overcoming this, with robust breadth. Small caps led the gains, with the Dow Jones and S&P 500 reaching record highs. On the other hand, the Nasdaq saw a slight decline as some tech giants retreated.
While Nvidia needs more time to recover, other tech leaders like Microsoft (MSFT), Meta Platforms (META), and CrowdStrike (CRWD) are showing bullish pullbacks. Astera Labs (ALAB), a new AI chip IPO, is also pulling back, potentially setting the stage for a short IPO base.
In the EV sector, companies like Nio (NIO), Li Auto (LI), and XPeng (XPEV) are expected to report their March and first-quarter deliveries soon. Tesla’s (TSLA) first-quarter deliveries are also anticipated. Expectations are low for Tesla due to recent cutbacks in delivery targets by Nio and Li Auto.
The market will keep an eye on the February PCE price index report, set to be released on Friday, as well as Fed Chief Jerome Powell’s speech. Inflation has remained stable in recent months, impacting the Fed’s stance on potential rate cuts.
Dow Jones futures, S&P 500 futures, and Nasdaq 100 futures showed little change on Thursday evening, with trading set to resume on Sunday. As the stock market rally continues, it is advisable for investors to diversify their portfolios, covering various sectors like housing, finance, healthcare, travel, and consumer goods. Remember to stay informed and market-aware to make well-informed investment decisions.
