Stock futures are trading lower after the Dow posted a five-day winning streak

A trader works on the trading floor of the New York Stock Exchange (NYSE) in New York City, January 26, 2023.

Andrew Kelly | Reuters

Stock futures fell on Friday morning as investors looked forward to earnings and economic reports due later in the day.

And futures contracts related to the Dow Jones Industrial Average fell 42 points, or 0.12%. S&P 500 and Nasdaq 100 futures fell 0.36% and 0.7%, respectively. Intel shares fell more than 9% in after-hours trading, after a Dismal earnings report Which missed the upper and lower lines.

Shares rose during regular trading Thursday, to a better-than-expected cheer GDP report for the fourth quarter This boosted hopes that the US economy could face a soft landing as the Federal Reserve raised interest rates to tame inflation.

The Dow Jones Industrial Average rose more than 205 points, or 0.61%, for its fifth straight session, the first such streak since October. The S&P 500 rose 1.10% and the heavy Nasdaq Composite jumped 1.76%.

All three indicators are positive for the week and month. The Dow Jones and the Standard & Poor’s are up 1.7% and 2.2% this week, respectively. The Nasdaq rose 3.3% for the week and is set to post its best monthly performance since July.

“This year’s stock market rally is impressive and should not be ignored,” said Chris Zaccarelli, chief investment officer, Alliance of Independent Advisers. he said in a note Thursday. “Unfortunately, the Fed is likely to start talking about the market again, as early as next week, so prepare for volatility again this year; We may be in the center of a hurricane and not quite out of the woods yet.”

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On Friday, investors will be watching economic reports that will give more information about the state of inflation. Personal income, spending and pending home sales for December are due in the morning. The Personal Consumption Expenditure Price Index, the Fed’s preferred measure of inflation, is as expected. Consumer sentiment for the month of January will also be released.

It’s some of the last data to be released before the next Federal Reserve meeting, which starts at the end of January. Investors are now expecting a rate hike of 0.25 percentage point from the central bank.

Earnings season continues, too. American Express, Colgate-Palmolive and Chevron are scheduled to report quarterly results on Friday. Investors may be watching Chevron’s report closely after the company announced $75 billion to buy back shares and increase the dividend on Wednesday.

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