Traders at the New York Stock Exchange saw stock futures slightly lower on Thursday morning after the S&P 500 nearly reached the 5,000 mark. Dow Jones Industrial Average futures decreased by 31 points or 0.1%, while the S&P 500 and Nasdaq 100 futures remained close to unchanged levels. Following the after-hours trading, Disney shares surged by approximately 6% after the media giant surpassed quarterly earnings expectations and raised its guidance through its cost-cutting initiatives. Additionally, chipmaker and designer Arm experienced a substantial 23% increase in shares during extended trading, propelled by stronger-than-anticipated earnings and a positive profit forecast.
The S&P 500 rose 0.8% to 4,995.06 on Wednesday, continuing the technology-led rally. The ongoing fourth-quarter earnings season has provided stronger results than anticipated, instilling confidence in investors about the potential for sustained corporate profits driven by a robust economy. Meta Platforms, a major player in Big Tech, surged by an additional 3% on Wednesday, while Nvidia and Microsoft reached fresh record highs with approximately 2% increases each. The Nasdaq Composite also reached nearly 1% growth to achieve another all-time closing high, as the blue-chip Dow rallied about 150 points.
Adam Crisafulli, the founder of Vital Knowledge, highlighted three key driving forces that continue to exert upward pressure on the market, including disinflation, a dovish monetary pivot, and resilient earnings. Investors will closely watch the latest jobless claims data on Thursday to assess the labor market’s overall health.
