US pre-open: Wall Street futures point to modest gains

18th Apr 2024 10:57

(Sharecast News) - Wall Street futures were pointing to modest gains ahead of the bell on Thursday as major indices look set to try and reclaim some of yesterday's losses.

As of 1315 BST, Dow Jones futures were up 0.22%, while S&P 500 and Nasdaq-100 futures were 0.28% and 0.34% firmer, respectively.

The Dow closed 45.66 points lower on Wednesday, adding to what has so far been a disappointing month for investors.

Trade Nation's David Morrison said: "It feels as if we're in a transition stage between relentless bullishness to a more bearish feel to market sentiment. Ever since the latest leg of the rally began last October, bad news has been shrugged off while good news has been disproportionately rewarded. It now feels as if the polarities are on the cusp of reversing. This has come as the prospect of imminent monetary stimulus in the form of a series of Fed rate cuts this year has been watered down substantially.

"In fact, concerns have increased recently that the Fed may be forced to hike rates first in another attempt to crush inflation, rather than give the markets what they want in the form of looser monetary policy. The next big test for the market is the first quarter earnings season. Next week could be key when five of the 'Magnificent Seven' announce results."

In the corporate space, shares in credit checking business Equifax traded lower in pre-market trading on the back of some disappointing second-quarter guidance, while Alaska Air shares flew higher following some better-than-expected first-quarter numbers.

Netflix will report after the close of trading.

On the macro front, weekly jobless claims data and the Philadelphia Federal Reserve's manufacturing index will be out at 1330 BST, while March existing home sales figures will be published at 1500 BST.

Reporting by Iain Gilbert at Sharecast.com