Wall Street futures indicated a robust ascent prior to the market open on Thursday, as investors analyzed the Federal Reserve's recent announcement of a 0.50% interest rate cut issued on Wednesday. This decision, along with projected future rate reductions and a tempered growth outlook for the U.S. economy, was highlighted during Chair Jerome Powell's press conference. In pre-market trading, the S&P 500 surged by 1.7%, the Nasdaq gained 2.1%, and the Dow Jones experienced an upward movement of 1.2%.
Such increases in futures reflect a strong sentiment among traders following the Fed's dovish stance. Asian stock exchanges also saw impressive gains, with record highs being established in both Mumbai and Sydney. European markets mirrored this positivity, showing upward trends in midday trading across the continent. Among the notable earnings reports released before the market bell were those from Darden Restaurants, Inc.
(DRI) and FactSet Research Systems Inc. (FDS). Moreover, FedEx Corporation (FDX), an essential indicator of the economy's vitality, is set to report its earnings after the market closes. On the economic events calendar, the weekly jobless claims report will be released at 8:30 AM ET, which investors will closely monitor, alongside the Philadelphia Federal Reserve's Manufacturing Index for September.
The latest report on the current international trade account for Q2 is also forthcoming. Later in the day, at 10:00 AM, the public will receive updates on existing home sales for August and leading economic indicators for the same month. Following this, the weekly natural gas report by the EIA will be posted at 10:30 AM. In premarket trading, Bitcoin reached a notable price of $62,410, indicative of ongoing interest in cryptocurrencies.
Moreover, West Texas Intermediate crude oil traded positively at $70.45, while the yield on 10-year U.S. Treasuries stood at 3.71%. Spot gold prices also reflected strength, trading at $2,587 per ounce. The sentiment in the markets appears to be fueled by the Fed's supportive monetary policy stance, suggesting a conducive environment for future growth and investment opportunities, despite the anticipated slower growth in the U.S.
economy. Investors continue to watch trends closely, particularly in sectors most affected by the interest rate decisions and economic forecasts. Market analysts and traders await further indications from earnings reports and economic data releases, which are anticipated to shape market dynamics in the days ahead..