U.S. Stock Futures Dip as Wall Street Aims to Extend Winning Streak

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ICARO Media Group
Politics
26/11/2023 23h33

U.S. stock futures showed a modest decline on Sunday evening as Wall Street looked to build on its four consecutive positive weeks. Nasdaq 100 futures dipped around 0.2%, while S&P 500 and Dow Jones Industrial Average futures were down by approximately 0.1% each. This slight drop comes after an impressive Thanksgiving trading week where all major averages exhibited gains.

During the shortened week, the Dow recorded a 1.27% increase, marking its fourth successive week of gains. The S&P 500 also saw a rise of 1.00%, maintaining its own streak of four positive weeks. The Nasdaq Composite followed suit, adding 0.89% to its value, also marking its fourth consecutive week of gains. The Russell 2000, however, experienced its second week of positive growth, rising by 0.54%.

This strong performance in the equity market comes despite concerns from U.S. retailers regarding weakening consumer spending. Traders are keenly watching for updates on the start of the holiday shopping season following Black Friday, as weak spending data could indicate the potential impact of the Federal Reserve's rate hikes on the broader economy.

Torsten Slok, Apollo Global Management's chief economist, highlighted the New York Fed's latest household survey, which reveals an increase in the number of consumers stating that obtaining credit has become more challenging. Slok suggests that this aligns with classical economic theory, as raising interest rates tends to make borrowing more difficult for consumers.

As investors gear up for the upcoming week, they will pay close attention to key economic indicators and Federal Reserve commentary. On Monday, the latest reports on new home sales and the Dallas Fed Manufacturing Survey are due. Later in the week, important data will be released, including readings for consumer confidence and inflation.

The focus remains on the momentum of the equity market, with Wall Street aiming to prolong its winning streak. Though stock futures dipped slightly on Sunday evening, there is cautious optimism among investors as they navigate through a busy week of economic indicators and Fed updates.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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