In the latest premarket activity, the broad market exchange-traded fund SPDR S&P 500 ETF Trust ($SPY) demonstrated a positive movement, showing an increase of 0.5%. Similarly, the actively traded Invesco QQQ Trust ($QQQ) also rose, gaining 0.6%. This uptick coincides with the heightening excitement surrounding the corporate earnings season, where tech giants, Apple ($AAPL) and Amazon ($AMZN), are set to disclose their financial results after the bell today. Amid this backdrop of corporate announcements, US stock futures also showed favorable trends.
The S&P 500 Index futures increased by 0.5%, the Dow Jones Industrial Average futures advanced by 0.1%, while Nasdaq futures enjoyed a gain of 0.6%. These movements suggest a positive market sentiment ahead of the regular trading session's commencement. Job market dynamics illustrate a notable trend, with companies planning 25,885 job cuts in July.
This figure indicates a significant reduction from June’s 48,786 cuts, yet it remains higher compared to the 23,697 job cuts recorded during the same month last year. The technology and services sectors appear to be at the forefront of these layoffs. Challenger, Gray & Christmas reported that cost-cutting measures prompted 6,626 job cuts, while business closings accounted for 5,113 cuts, and 8,033 job cuts were attributed to unspecified reasons. Investors are awaiting key economic reports as well, with the weekly jobless claims bulletin and the Q2 productivity and costs report scheduled for release at 8:30 am ET.
By 9:45 am ET, the final US manufacturing PMI for July will be posted, succeeded by the ISM July manufacturing index and the June construction spending report at 10 am ET. Additionally, the EIA domestic natural gas report is slated for 10:30 am ET, which could have implications for energy markets. In cryptocurrency markets, Bitcoin has shown a slight downturn, decreasing by 1%, while the ProShares Bitcoin Strategy ETF ($BITO) followed suit, being down by 0.8% in premarket trading. In sector-specific movements, the Health Care Select Sector SPDR Fund ($XLV) rose modestly by 0.3%.
However, the Vanguard Health Care Index Fund ($VHT) experienced a minor pullback of 0.01%, and the iShares US Healthcare ETF ($IYH) remained inactive. Conversely, the iShares Biotechnology ETF ($IBB) fell by 0.5%. Moderna ($MRNA) faced a significant dip, with its stock down nearly 12% in premarket trading after the company disclosed a narrowed Q2 loss alongside lower-than-expected revenue figures. The technology sector showed resilience, with the Technology Select Sector SPDR Fund (XLK) increasing by 0.6%.
The iShares US Technology ETF ($IYW) managed a slight rise of 0.01%, while the iShares Expanded Tech Sector ETF ($IGM.US) surged by 1.1%. Among semiconductor ETFs, the SPDR S&P Semiconductor ETF ($XSD) recorded a nearly 1% gain, whereas the iShares Semiconductor ETF ($SOXX) reported a negligible decline of 0.1%.
Arm ($ARM) shares took a hit, dropping more than 8% during Thursday's premarket as the company’s fiscal Q2 non-GAAP diluted EPS forecast fell short of analysts' expectations. In the consumer goods segment, the Consumer Staples Select Sector SPDR Fund ($XLP) ticked down by 0.1%, with the Vanguard Consumer Staples Fund ($VDC) being inactive.
The iShares US Consumer Staples ETF ($IYK) reported a modest increase of 0.3%, while the Consumer Discretionary Select Sector SPDR Fund ($XLY) gained just 0.1%. Notably, Hershey's ($HSY) stock underwent more than a 4% decline pre-bell following the announcement of lower Q2 financial results, which prompted a reduction in their 2024 guidance. The financial sector displayed minimal movement with the Financial Select Sector SPDR Fund (XLF) edging up by 0.02%.
Direxion Daily Financial Bull 3X Shares ($FAS.US) dipped slightly by 0.1%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares ($FAZ), remained unchanged. Mitsubishi UFJ Financial Group ($MUFG) also saw its shares decline by 2.7% in pre-bell trading after reporting lower fiscal Q1 earnings. In industrials, the Industrial Select Sector SPDR Fund ($XLI) slipped by 0.1%, whereas the Vanguard Industrials Index Fund ($VIS) and the iShares US Industrials ETF (IYJ) did not experience any trading activity.
AMETEK ($AME) shares fell by 2% ahead of the market opening, following a report of lower-than-expected Q2 net sales alongside a revision in their full-year adjusted earnings guidance. Turning to energy markets, the iShares US Energy ETF ($IYE) decreased by 0.5%, with the Energy Select Sector SPDR Fund ($XLE) marginally lower by 0.04%.
In a contrasting scenario, ConocoPhillips ($COP) posted gains of nearly 1% before the market opened, buoyed by reports of increased Q2 adjusted earnings and revenue. Commodity markets reflected dynamic movements as well. Front-month US West Texas Intermediate crude oil rose by 0.7%, reaching $78.46 per barrel on the New York Mercantile Exchange.
Natural gas inched up by 0.3% to $2.04 per million British Thermal Units. In ETF movements, the United States Oil Fund (USO) increased by nearly 1%, while the United States Natural Gas Fund (UNG) fell by 0.3%. Gold futures for December saw an uptick of 0.3%, currently at $2,481.10 per ounce on the Comex, while silver futures climbed by 0.4%, hitting $29.06 an ounce.
Notably, SPDR Gold Shares ($GLD) dipped by 0.4%, contrasting with a rise in the iShares Silver Trust ($SLV), which saw a 0.2% gain..