Stocks may move to the downside in early trading on Thursday, giving back ground after moving modestly higher over the two previous sessions. The major index futures are currently pointing to a lower open for the markets, with the S&P 500 futures down by 0.3 percent.
A slump by shares of Walmart (WMT) is likely to weigh on Wall Street, as the retail giant is tumbling by 6.6 percent in pre-market trading.
The steep drop by Walmart comes after the company reported better than fiscal fourth quarter earnings but provided disappointing guidance for the current year.
Traders may also look to cash in on the recent upticks by stocks, which have lifted the S&P 500 to record highs despite ongoing tariff concerns and indications the Federal Reserve is likely to keep interest rates on hold for some time.
On the U.S. economic front, a report released by the Labor Department showed a modest increase by first-time claims for U.S. unemployment benefits in the week ended February 15th.
The Labor Department said initial jobless claims rose to 219,000, an increase of 5,000 from the previous week’s revised level of 214,000.
Economists had expected jobless claims to inch up to 215,000 from the 213,000 originally reported for the previous week.
The Federal Reserve Bank of Philadelphia also released a report showing Philadelphia-area manufacturing activity continued to expand in the month of February, although the index of activity in the sector pulled back sharply.
Stocks moved modestly lower early in the session on Wednesday but regained ground over the course of the trading day. The major averages climbed well off their early lows and into positive territory, with the S&P 500 once again reaching a new record closing high.
The major averages ended the day modestly higher. The S&P 500 rose 14.57 points or 0.2 percent to 6,144.15, the Dow climbed 71.25 points or 0.2 percent to 44,627.59 and the Nasdaq inched up 14.99 points or 0.1 percent to 20,056.25.
In overseas trading, stock markets across the Asia-Pacific region moved mostly lower during trading on Thursday. Japan’s Nikkei 225 Index slumped by 1.2 percent, while Hong Kong’s Hang Seng Index tumbled by 1.6 percent.
Meanwhile, the major European markets are turning in a mixed performance on the day. While the U.K.’s FTSE 100 Index is down by 0.4 percent, the French CAC 40 Index and the German DAX Index are both up by 0.3 percent.
In commodities trading, crude oil futures are rising $0.17 to $72.42 a barrel after climbing $0.40 to $72.25 a barrel on Wednesday. Meanwhile, after sliding $12.90 to $2,936.10 an ounce in the previous session, gold futures are jumping $27.40 to $2,963.50 an ounce.
On the currency front, the U.S. dollar is trading at 150.00 yen versus the 151.47 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.0447 compared to yesterday’s $1.0423.
Business News
U.S. Stocks May See Initial Weakness Amid Slump By Walmart
2025-02-20 13:54:00
