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S&P 500, Nasdaq futures rise on Fed delivery, Meta jump
U.S. stocks were poised to resume their rally on Thursday, with the Meta index (GOAL) results put earnings in the spotlight again after the Federal Reserve raised hopes for a September rate cut.
S&P 500 Futures (ES=F) and the Nasdaq 100, with a strong technological presence (NQ=F) rose about 0.4%, after the indexes closed with substantial gains. Dow Jones Industrial Average futures (YM=F) rose 0.1%.
Stocks are up after Fed Chairman Jerome Powell Reinforced market confidence in a September interest rate cut, saying it “could be on the table.” Traders are mostly expecting a 25 basis point reduction, but increased bets in a 50 basis point move after policymakers rates kept stable.
Read more: 32 Charts That Tell the Story of Markets and the Economy Right Now
The focus is now on quarterly results, especially from Big Tech names, after Strong Meta Report Wednesday night. Shares of the Facebook-owned company rose more than 7% in premarket trading as the market weighed its earnings and signs that solid digital ad revenue will give its AI investments time to pay off.
Earnings from Apple (AAPL) It is Amazonas (AMZN) due after the bell could test the Meta-driven rally for technologies. They will also test the chances of AI trading delivering on its promise, which was hit by the earlier disappointing earnings of the “Magnificent Seven.”
Also ahead, an update on weekly jobless claims will pave the way for the release of the July jobs report on Friday, which is closely watched for further evidence of a cooling labor market that is crucial to Fed policy.