Stock Futures: S&P Down 0.07%, Nasdaq Falls 0.29%

Stock Futures: S&P Down 0.07%, Nasdaq Falls 0.29%

Key Points:

  • S&P 500 and Nasdaq 100 Stock Futures Show Decline: S&P 500 down 0.07%, Nasdaq 100 drops 0.29%, signaling mixed market sentiments.
  • Sharp Monthly Losses for Major Indices: April saw S&P 500 and Nasdaq fall over 4%, with Dow recording its steepest monthly drop since Sept 2022.

The primary stock indices showed mixed performances in Tuesday night’s trading session. The S&P 500 futures indicated a marginal decline of 0.07%, while the Nasdaq 100 futures fell by a more significant 0.29%. In contrast, the Dow Jones Industrial Average futures rose slightly, marking an increase of 0.03%, or 10 points. These movements come ahead of a crucial Federal Reserve decision on interest rates, which has kept investors on edge.

S&P 500 Falls 4%, Nasdaq and Dow Plunge

April proved challenging for major stock indices, reflecting broader market uncertainties and fluctuating investor sentiment. The S&P 500 faced a steep decline, dropping by 1% during Tuesday’s trading session and recording a monthly loss of over 4%. The Nasdaq Composite also experienced a significant downturn, falling by 2% on the same day, contributing to a similar monthly loss. The Dow Jones Industrial Average recorded its worst monthly performance since September 2022, plunging by 5% in April.

Stock: Amazon Up 1%, AMD Down 6%, Super Micro Falls 9%

Post-market trading brought some surprises from prominent companies. Amazon saw its stock price increase by 1% following a better-than-expected Q1 earnings and revenue report. Conversely, Advanced Micro Devices (AMD) and Super Micro Computer experienced declines of 6% and 9%, respectively. AMD’s forecast for current-quarter revenue met expectations but did not exceed them, likely contributing to the drop. Meanwhile, Super Micro’s revenues slightly missed consensus estimates, prompting a negative reaction from the market.

Rising Employment Costs and Upcoming Labor Data

The market is closely watching several economic indicators due to their potential impact on future monetary policy. The Employment Cost Index for the first quarter came in higher than anticipated, reigniting concerns about prolonged high-interest rates. Additionally, the Job Openings and Labor Turnover Survey (JOLTS) for March is set to be released on Wednesday, alongside the ADP Private Employment Data for April. These reports will provide further clues about the labour market’s health and are key precursors to the more comprehensive nonfarm payrolls report.

Fed’s Rate Strategy: Market Awaits Powell’s Insights

The Federal Reserve is expected to keep interest rates steady this Wednesday amid widespread anticipation. Fed Chair Jerome Powell is expected to provide critical insights into the conditions necessary for future rate adjustments. Chief Investment Strategist Sam Stovall of CFRA voiced concerns. This cautious sentiment reflects the broader market’s anxieties about inflation and economic stability.