US pre-open: Futures little changed following record-setting week

26th Feb 2024 12:11

(Sharecast News) - Wall Street futures were slightly lower ahead of the bell on Monday following last week's record-setting rally.

As of 1245 GMT, Dow Jones futures were down 0.08%, while S&P 500 and Nasdaq-100 futures were 0.03% and 0.02% softer, respectively.

The Dow closed 62.42 points higher on Friday as blockbuster earnings from chipmaker Nvidia lifted sentiment earlier in the week.

Trade Nation's David Morrison said: "It has been a quiet start to the week as investors continue to come down from the 'sugar rush' supplied by Nvidia's earnings report after Wednesday's close. It is rare that a set of quarterly results from a single company has such a widespread effect on the broader market. Nvidia didn't just blow apart expectations on revenues and earnings, but also on forward guidance. This all came despite fears that the generative AI chip designer would be unable to build on previous earnings surprises. But it did, and the effect was compounded.

"Most of the major US and European stock indices hit record highs on Thursday, but ended Friday's session little-changed and that's the story this morning as well. Perhaps it's testament to the underlying bullishness that we haven't seen more of a pullback on profit-taking. But for now, it feels as if most investors are keeping, and even adding to their long-side exposure in the hope of further gains. As things stand, there's little sign of a catalyst which could overturn that sentiment. Or is there? Well, any future disappointments on the earnings side are unlikely to have much of an overall effect. But we do get an update on the Fed's preferred inflation measure on Thursday."

On the macro front, new home sales data for January will be out at 1500 GMT.

Reporting by Iain Gilbert at Shareccast.com