U.S. stock futures held steady Thursday night as investors awaited the Federal Reserve’s preferred inflation measure. The S&P 500 and Nasdaq closed just shy of record highs following strong performances from tech and banking stocks.
S&P 500 Futures remained flat at 6,197.50, while Nasdaq 100 Futures rose 0.1% to 22,683.75. Dow Jones Futures also gained 0.1%, reaching 43,764. Market sentiment was supported by easing geopolitical tensions, with a ceasefire between Israel and Iran—brokered by President Donald Trump—still in effect.
Investors digested key economic data ahead of Friday’s release of May’s Personal Consumption Expenditures (PCE) Price Index, the Fed’s preferred inflation gauge. U.S. GDP contracted by an annualized 0.5% in Q1, the first drop since 2022, reinforcing expectations of a potential rate cut later this year. Weekly jobless claims fell by 10,000, though June's unemployment rate may rise as job seekers face challenges.
Fed Chair Jerome Powell said more time was needed to evaluate the inflationary impact of recent tariffs before making a rate decision. However, pressure is mounting, with Trump publicly urging immediate cuts and signaling he may replace Powell by September.
On Wednesday, the S&P 500 rose 0.8% and the Nasdaq gained 1%, while the Dow climbed 0.9%, driven by surging tech and bank stocks. NVIDIA (NASDAQ:NVDA) hit new highs, up 40% since Trump’s tariff announcement in April. Micron (NASDAQ:MU) advanced after beating earnings expectations. Banking stocks like JPMorgan (NYSE:JPM) and Goldman Sachs (NYSE:GS) also saw strong gains.
With inflation data due and policy uncertainty looming, investors are eyeing clues on when the Fed might act, as the market hovers near historic highs.


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