U.S. stock futures pointed to a quiet open on Thursday, with investors showing caution after markets rallied to new record highs in the previous session.
With the federal government shutdown stretching into its ninth day, the release of several key economic reports — including the weekly jobless claims figures — has been postponed. The lack of fresh data could keep trading activity subdued, as investors monitor developments in Washington.
The political impasse over a temporary funding measure remains unresolved. Lawmakers continue to debate whether to include an extension of enhanced Obamacare tax credits, a sticking point that has delayed progress.
Market participants will also be paying attention to upcoming remarks from Federal Reserve officials. Fed Chair Jerome Powell offered no new policy clues in a brief address at a Community Bank Conference, but speeches from Fed Governor Michael Barr and Fed Vice Chair for Supervision Michelle Bowman later today may provide additional insight.
On Wednesday, Wall Street bounced back from Tuesday’s dip. The tech-heavy Nasdaq surged 255.02 points, or 1.1%, to close at 23,043.38, while the S&P 500 gained 39.13 points, or 0.6%, to finish at 6,753.72. The Dow Jones Industrial Average ended essentially flat, slipping 1.20 points to 46,601.78.
A key driver of the rally was a 2.2% jump in NVIDIA Corporation (NASDAQ:NVDA) stock, which closed at a record high after CEO Jensen Huang told CNBC’s “Squawk Box” that demand for AI computing has increased “substantially” over the past six months.
Market sentiment remained upbeat even after the release of the Fed’s September meeting minutes, which showed mixed views on the pace of future policy moves. Most policymakers signaled support for additional rate cuts this year, while others called for a cautious approach as financial conditions evolve.
Tech stocks once again led the advance, with computer hardware names lifting the NYSE Arca Computer Hardware Index 4.3% to a record close. Networking and semiconductor stocks also contributed to the Nasdaq’s strength.
Outside the tech sector, gold miners rallied alongside rising bullion prices, pushing the NYSE Arca Gold Bugs Index up 2.8%. Steel and airline stocks also gained ground, while banking shares lagged behind.
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