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Wall Street Futures Hold Steady as Rate Cut Hopes Offset Tech Losses

Wall Street Futures Hold Steady as Rate Cut Hopes Offset Tech Losses. Source: Scott Beale, CC BY-SA 4.0, via Wikimedia Commons

Stock index futures remained mostly flat Thursday evening, stabilizing after a mixed Wall Street session. Investors digested lukewarm economic data and growing expectations for Federal Reserve interest rate cuts in 2025. Optimism over recent U.S.-China trade de-escalation also supported market sentiment, along with speculation on further trade deals under Donald Trump’s administration.

The S&P 500 futures hovered at 5,935.25, Nasdaq 100 futures stayed at 21,414.50, and Dow Jones futures edged up 0.1% to 42,420. Markets were seen pricing in at least two Fed rate cuts this year, spurred by softer-than-expected producer inflation and retail sales data. However, the Fed has yet to signal a timeline for policy easing.

On Thursday, Wall Street posted a mixed close. The S&P 500 gained 0.4% to 5,916.93, and the Dow Jones rose 0.7% to 42,322.75, while the Nasdaq Composite slipped 0.2% to 19,112.32. The pullback in tech stocks came after a strong rally earlier in the week, although gains in cyclical sectors helped offset declines.

After-hours movers included Vistra Energy (NYSE:VST), which surged nearly 4% after announcing a $1.9 billion acquisition of natural gas assets, aimed at powering AI-focused data centers. Take-Two Interactive (NASDAQ:TTWO) dropped 2.5% after cutting its bookings forecast due to a delay in Grand Theft Auto VI. Applied Materials (NASDAQ:AMAT) slid 5.4% as weaker revenue and soft guidance overshadowed its earnings beat.

Despite tech volatility, chipmaker earnings continued to boost investor confidence in AI-driven demand, suggesting further strength in the semiconductor sector in coming quarters.

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