AI boom continues U.S. market futures prices rise slightly
U.S. stock index futures rose slightly after a day of trading late Monday, partially recovering from Friday's losses on Wall Street, with the market still largely focused on further inflation and Fed data.
U.S. stock index futures rose slightly after a day of trading late Monday, partially recovering from Friday's losses on Wall Street, with the market still largely focused on further inflation and Fed data.The rise of leading stocks in the field of artificial intelligence continued into post market trading, and investors remained optimistic about this rapidly growing industry.
However, despite hitting a historic high on Wall Street last week, market sentiment seems to be cooling at the moment, mainly due to the influence of the apparent dovism of the Federal Reserve. The regulatory actions against some of the largest technology companies have also had an impact on market sentiment.
As of 20:04 ET (00:04 GMT), S&P 500 index futures rose 0.1% to 5,283.50 points, Nasdaq 100 index futures rose 0.1% to 18,539.75 points, and Dow Jones Industrial Average futures rose 0.1% to 39,722 points.
The PCE inflation data and the Federal Reserve's speech are about to be released.
The Personal Consumer Expenditure Price Index (PCE) data, which is a preferred inflation measure by the Federal Reserve, will be released this Friday, and the market will be closed on that day. This data will receive widespread market attention to obtain new clues about inflation trends. Previously, the Federal Reserve had stated that any rate cuts in 2024 would heavily rely on inflation reaching its annual target of 2%.
In addition to inflation data, several Federal Reserve officials are planning to deliver speeches this week, with a particular focus on Mary Daley, a member of the Federal Open Market Committee, and Jerome Powell, the Chairman of the Federal Reserve, who will each deliver speeches on Friday.
Although the Federal Reserve hinted last week that it would cut interest rates by 75 basis points in 2024, investors remain nervous about any potential revisions to the forecast, especially considering high inflation levels. This view has led to some decline on Wall Street.
Despite the overall decline in the Wall Street index, investors are still continuously injecting funds into artificial intelligence related companies, driven by sustained growth in the industry. Nvidia rose 0.4% to $953.81 in post market trading, approaching a historic high set in March.
Micron Technology rose 1% after trading. Bank of America Securities has raised its target price, stating that its high bandwidth memory devices have improved prospects in terms of artificial intelligence demand. Recently, Micron unexpectedly achieved quarterly profits due to revenue related to artificial intelligence and increased its annual sales forecast.
Super Micro rose more than 7% in intraday trading, and rose another 1.5% in post market trading. JPMorgan Chase upgraded the rating of the server manufacturer to "buy".
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