After dilly-dallying in recent sessions amid anticipation ahead of Nvidia Corp.’s (NASDAQ:NVDA) earnings, market mood is settling in. The index futures were higher in early trading. Nvidia shares have clawed part of their losses seen early in the premarket session and could recover when sell-side analysis starts coming in. Some strong tech earnings could provide the offsetting impact.
The preliminary GDP data due ahead of the market will be parsed by traders for cues on growth and inflation. A speech by a Federal Reserve official is also on traders’ radar. More importantly, Friday’s consumer price expenditure index data called the Fed’s favorite inflation gauge, could keep the market on tenterhook. The Labor Day holiday on Monday could dampen trading volume, and this could impart volatility, although traders do not attach much significance to low-volume moves.
Futures
Performance (+/-)
Nasdaq 100
+0.28%
S&P 500
+0.23%
Dow
+0.52%
R2K
+0.53%
In premarket trading on Thursday, the SPDR S&P 500 ETF Trust (NYSE:SPY) rose 0.20% to $559.41, and the Invesco QQQ ETF (NASDAQ:QQQ) gained 0.25% to $472.53, according to Benzinga Pro data.
Cues From Last Session
Caution ahead of Nvidia’s earnings and a sharp pullback in the shares of Super Micro Computer, Inc. (NASDAQ:SMCI) weighed down on the tech space on Wednesday, which in turn dragged the major averages on Wednesday lower. After a lackluster start, stocks moved sideways in early trading, and subsequently, they moved lower before recouping some of the losses in late afternoon trading.
The tech-heavy Nasdaq Composite settled at its lowest in about two weeks and the Dow Jones Industrial Average retreated from its all-time closing high.
All but two S&P 500 sector classes retreated on Wednesday, and IT, communication services, consumer discretionary and energy stocks bore the brunt of the selling pressure.
Index
Performance (+/)
Value
Nasdaq Composite
-1.12%
17,556.03
S&P 500 Index
-0.60%
5,592.18
Dow Industrials
-0.39%
41,091.42
Russell 2000
-0.65%
2,188.64
Insights From Analysts:
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