A trader works on the floor of the New York Stock Exchange (NYSE) at the opening bell on November 26, 2024, in New York City.Timothy A. Clary | Afp | Getty Images
Hey there! Let’s dive into the latest market buzz—stock futures are showing a bit of a dip after a historic day for the Nasdaq Composite. Yes, you heard that right! The tech-focused Nasdaq cracked the 20,000 mark for the first time during Wednesday’s session, closing at an all-time high. What a milestone!
What’s Happening in Futures?
As of Wednesday night, Nasdaq 100 futures slipped by 0.2%, while the S&P 500 futures edged down 0.1%. Meanwhile, Dow Jones Industrial Average futures took a bit more of a hit, dropping 83 points (about 0.2%).
Adobe, the software giant, didn’t have the best night in extended trading. Its stock slid 9% after revealing a revenue guidance for the current quarter that fell short of expectations.
The Day That Was: Record Highs and Dow’s Struggle
Wednesday’s trading session was a mixed bag. The Nasdaq shined, gaining about 1.8% and smashing through that 20,000 threshold. The S&P 500 followed with a respectable 0.8% increase. But the Dow? It lagged behind, shedding 99 points (roughly 0.2%).
Mark Hackett, investment research chief at Nationwide, summed it up perfectly: “Equities are rebounding from a poor start to the week.” However, he added a word of caution, noting that “expectations are elevated, and valuations are at their highest level since the technology bubble.” Translation? Investors might start being pickier about where they put their money as we head into next year.
Inflation Data: A Mixed Bag of News
Here’s where it gets interesting for rate watchers. November’s consumer price index (CPI) report matched economists’ predictions, showing a 0.3% month-over-month increase and a 2.7% rise over the past year. That’s leading most investors to bet on another Federal Reserve rate cut at their meeting next week—CME’s FedWatch tool pegs the likelihood at almost 99%!
But there’s more inflation data coming Thursday morning, with the producer price index (PPI) report. Economists are forecasting a 0.2% monthly increase. Keep an eye on this—it could set the tone for the market’s next moves.