The Outpost is a comprehensive collection of curated artificial intelligence software tools that cater to the needs of small business owners, bloggers, artists, musicians, entrepreneurs, marketers, writers, and researchers.
© 2024 TheOutpost.AI All rights reserved
Curated by THEOUTPOST
On September 4, 2024
3 Sources
Share
US stock futures slip as Nvidia experiences its largest one-day drop amid a regulatory probe. Investors await key economic data, including job openings and ISM services index.
The US stock market futures took a hit on Wednesday, largely influenced by the sharp decline in Nvidia's stock price. The tech giant experienced its most significant one-day drop, falling by 4.7%, following news of a US government subpoena related to its sales to China and other countries in the Middle East 1. This development has sent ripples through the tech sector and broader market, highlighting the ongoing tensions between the US and China in the semiconductor industry.
Investors are keenly awaiting crucial economic data that could provide insights into the health of the US economy. The Job Openings and Labor Turnover Survey (JOLTS) report for January is expected to show a decrease in job openings to 8.9 million from 9.026 million in December 2. Additionally, the Institute for Supply Management (ISM) is set to release its services index for February, with economists anticipating a slight dip to 53 from 53.4 in January 3.
As of early trading, Dow Jones Industrial Average futures were down 0.3%, S&P 500 futures fell 0.5%, and Nasdaq 100 futures declined by 0.8% [2]. The tech-heavy Nasdaq's more significant drop reflects the impact of Nvidia's situation on the broader technology sector. Other notable tech stocks, including Apple, Microsoft, and Meta Platforms, also experienced declines in premarket trading [1].
The market's reaction is also influenced by ongoing speculation about the Federal Reserve's monetary policy. While Fed Chair Jerome Powell is scheduled to testify before Congress, investors are particularly interested in any hints about the timing of potential interest rate cuts [3]. The current market expectations suggest a 70% probability of the first rate cut occurring in June, according to the CME FedWatch tool [2].
International factors are also playing a role in market sentiment. China's National People's Congress is underway, with investors closely monitoring for any policy announcements that could impact global markets. Additionally, the Bank of Canada is expected to maintain its benchmark interest rate at 5% in its upcoming decision [3].
Beyond Nvidia, other corporate developments are influencing market dynamics. Tesla shares fell over 2% following a price cut announcement for its Model Y vehicle in China [1]. Meanwhile, companies like CrowdStrike Holdings and Box are set to report their earnings, potentially adding to market volatility [3].
As the trading day unfolds, market participants will be closely watching these various factors, from tech sector developments to economic indicators and global events, to gauge the overall direction of US stocks in the near term.
Reference
[1]
[2]
U.S. stock futures edge higher as investors anticipate potential rate cuts and await Nvidia's earnings report. The market sentiment is cautiously optimistic, with the S&P 500 and Dow Jones Industrial Average poised for gains.
7 Sources
As the stock market faces uncertainty due to mixed economic signals, NVIDIA's upcoming earnings report becomes a focal point for investors. The tech giant's performance could significantly impact market sentiment and the ongoing AI boom.
2 Sources
Nvidia's disappointing revenue forecast triggers a sell-off in Asian tech stocks, particularly impacting chipmakers. The broader Asian market experiences limited losses as investors remain cautious ahead of the Jackson Hole symposium.
3 Sources
Wall Street experiences fluctuations as investors digest Nvidia's financial results and economic data. The tech giant's performance sends ripples through the market, influencing major indices and investor sentiment.
4 Sources
Nvidia's recent stock performance has sent ripples through the market, with its fall sparking both concern and optimism. Despite beating expectations, the tech giant's stock decline has broader implications for the market.
6 Sources