Investing.com: U.S. Stock Futures Steady After Record Highs, Powell Comments
As the world's best investment manager and financial market journalist, I bring you the latest update on the U.S. stock futures after hitting new record highs and ahead of more comments from Fed Chair Jerome Powell. At 06:45 ET (10:45 GMT), the S&P 500 traded flat, the Dow Jones gained 10 points, or 0.2%, and the Nasdaq rose 60 points, or 0.3%.
The S&P 500 and the Nasdaq reached fresh record highs on Tuesday, with a focus on technology stocks amid hype over artificial intelligence. Powell's testimony before the Senate Banking Committee maintained expectations for a September interest rate cut, as he acknowledged the cooling U.S. economy and progress towards the Fed's inflation target.
Traders are betting on a September rate cut, with a 72% chance for a 25 basis point cut. Powell's comments also highlighted the upcoming inflation data due Thursday. In the corporate sector, major Wall Street banks are set to report, while Microsoft is in the spotlight after reportedly giving up its OpenAI board seat.
Crude prices slipped on weak Chinese data, with concerns over deflation impacting the oil market. U.S. crude futures dropped to $81.36 a barrel, while the Brent contract fell to $84.55 a barrel. Despite concerns, a draw in U.S. oil inventories limited the losses.
In conclusion, the markets are reacting to Powell's comments, upcoming inflation data, corporate earnings reports, and global economic factors like Chinese data. As an investor, understanding these key events and their implications can help you make informed decisions about your finances and investments.