Stock futures showed little movement Sunday evening as Wall Street enters a pivotal week, with attention centered on the Federal Reserve’s upcoming meeting.
The Dow Jones Industrial Average, riding a seven-day losing streak, edged up 31 points, or less than 0.1%.
Futures tied to the S&P 500 also nudged upward, while Nasdaq 100 futures slipped by less than 0.1%.
Last week, the Dow fell 1.8%, continuing its downward trend over seven consecutive sessions.
The S&P 500 dipped 0.64%, marking losses in four of the last five trading days.
The Nasdaq Composite managed a modest 0.34% gain for the week, driven by strength in tech stocks.
After a broad post-election rally in November, the market appears to have narrowed, with gains increasingly concentrated in a few leading technology names.
Charles Schwab’s head trading and derivatives strategist, Joe Mazzola, noted the narrowing trend, stating that the rally’s breadth has started to dissipate and become reliant on fewer stocks.
He questioned how sustainable this dynamic might be as the year progresses.
The Federal Open Market Committee’s two-day meeting on Tuesday and Wednesday is this week’s main event.
Federal Reserve officials are widely expected to lower the benchmark interest rate, a move aimed at addressing economic challenges.
On Monday, investors will look to preliminary purchasing managers index (PMI) data for early signals on business activity and economic health.
Meanwhile, individual stocks are also drawing attention. MicroStrategy, often viewed as a proxy for bitcoin, may see movement after being added to the Nasdaq 100 index.
As Wall Street waits for the Fed’s decision, the market remains cautious, balancing hopes for renewed economic growth with concerns over the limited breadth of the current rally.
Businesses and investors alike are watching closely, seeking clarity in a period marked by uncertainty.
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