Thursday's US stock index futures showed minimal activity as investors looked forward to new economic data to assess the Federal Reserve's future policy decisions. This comes ahead of a long weekend, suggesting a quieter trading session.
Wednesday saw a positive shift in major US stock indexes, with the Dow experiencing a surge of over 1%, and the S&P 500 reaching a new all-time closing high.
Key focuses for Thursday include the final fourth-quarter GDP readings, the University of Michigan's consumer sentiment survey, and the latest weekly jobless claims data.
Investor attention is also on the Personal Consumption Expenditures Price Index (PCE), the Fed's preferred inflation measure, expected on Good Friday when the stock market is closed. A higher-than-expected inflation rate could temper expectations for early rate cuts.
Fed Governor Christopher Waller's recent comments highlighted the potential to maintain the current short-term interest rate target, aligning with other Fed officials' cautious stance on rate cuts later in the year.
The anticipation of a Federal Reserve rate cut in June stands at about 60%, according to the CME FedWatch tool. This comes as all three indexes are looking at strong quarterly gains, bolstered by an AI-driven rally and optimism over potential rate cuts.
Early trading saw most megacap growth stocks, including Nvidia, experiencing slight declines. Nvidia's shares dropped by 0.9% following a 2% decrease in the previous two sessions.
Take-Two Interactive Software also saw a 1.3% decrease after announcing its acquisition of Gearbox Entertainment from Sweden's Embracer for $460 million.
Cryptocurrency and blockchain-related stocks like Coinbase Global, MicroStrategy, and Riot Platforms saw increases between 2.2% and 3.3% as bitcoin and ethereum prices began to recover after a two-day downturn.
