U.S. stock futures showed little movement Monday night, with the S&P 500 and Nasdaq Composite both catching their breath after their longest winning streaks of 2024.
Futures tied to the Dow Jones Industrial Average dipped 15 points, or 0.04%, while those linked to the S&P 500 hovered near flat.
Nasdaq 100 futures ticked up by a modest 0.02%.
In after-hours trading, cybersecurity giant Palo Alto Networks saw a 2% lift following a strong earnings report that surpassed expectations.
The company’s upbeat guidance for the current quarter further fueled investor optimism.
Earlier, the market closed on a high note, with the S&P 500 climbing nearly 1% and the Nasdaq gaining 1.4%.
Both indexes logged their eighth consecutive positive session, marking the longest winning streak for the S&P 500 since November 2023 and for the Nasdaq since December 2023.
This rally comes as market volatility takes a sharp dive.
The CBOE Volatility Index, once soaring above 65 on August 5 during a global sell-off, now rests at a calmer 14.7.
Recent robust retail sales data and a softer inflation report have eased concerns about the economy, restoring investor confidence.
All eyes are now on the Federal Reserve’s annual Jackson Hole Economic Symposium, where Chair Jerome Powell will speak on Friday.
Wall Street is on edge, seeking clues about the Fed’s next steps, particularly as September’s meeting looms large.
The Fed wants to signal that “they are on top of the curve—not behind it.
But at the same time, they don’t want to be too aggressive in removing the pressure before the fire is out,” according to Sam Stovall, CFRA Research’s chief investment strategist.
“The real question is not just the timing, but the magnitude” of rate cuts, Stovall added.
Currently, market sentiment suggests a 76% chance of a 25 basis point rate cut in September, according to the CME FedWatch Tool.
On the earnings front, investors are keeping an eye out for Lowe’s second-quarter results, which could offer more insights into the retail sector’s resilience.
These developments are being closely watched by the business community, as they could set the tone for the rest of the year.
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