Following the modest pullback seen over the course of the previous session, stocks may show a lack of direction in early trading on Friday. The major index futures are currently pointing to a roughly flat open for the markets, with the S&P 500 futures up by just 0.1 percent.
Traders may be reluctant to make significant moves as they digest recent strength in the markets, which saw the major averages reached new record intraday highs.
The Dow climbed above 40,000 for the first time ever on Thursday before giving back ground and ending the day slightly lower.
While recent economic data has generated optimism about an interest rate cut in the coming months, comments from Federal Reserve officials have put a damper on some of the cheer.
Following the slew of U.S. data released over the past two days, the economic calendar is relatively quiet today, although the Conference Board’s report on leading economic indicators in April may still attract some attention.
The Conference Board’s leading economic index is expected to dip by 0.3 percent in April, matching the decrease seen in March.
Stocks moved to the upside early in the session on Thursday but fluctuated over the course of the trading day before eventually closing modestly lower. The major averages partly offset the strong upward move seen over the two previous sessions.
While the Dow climbed above 40,000 for the first time in morning trading, the blue chip index ended the day down 38.62 points or 0.1 percent to 39,869.38. The S&P 500 dipped 11.05 points or 0.2 percent to 5,297.10 and the Nasdaq fell 44.07 points or 0.3 percent to 16,698.32.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Friday. Japan’s Nikkei 225 Index fell by 0.3 percent, while Hong Kong’s Hang Seng Index advanced by 0.9 percent and China’s Shanghai Composite Index jumped by 1.0 percent.
Meanwhile, the major European markets have all moved to the downside on the day. While the French CAC 40 Index has fallen by 0.5 percent, the U.K.’s FTSE 100 Index is down by 0.4 percent and the German DAX Index is down by 0.3 percent.
In commodities trading, crude oil futures are rising $0.22 to $79.45 a barrel after climbing $0.60 to $79.23 a barrel on Thursday. Meanwhile, after falling $9.40 to $2,385.50 an ounce in the previous session, gold futures are inching up $7.20 to $2,393.70 an ounce.
On the currency front, the U.S. dollar is trading at 155.80 yen versus the 155.39 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0840 compared to yesterday’s $1.0867.
Business News
U.S. Stocks May Show A Lack Of Direction In Early Trading
2024-05-17 12:48:43
